Government needs to tighten its belt following latest OCR hike

Government needs to tighten its belt following latest OCR hike

The Taxpayers’ Union has called on the Government to tighten its belt as the Reserve Bank announces a 50 basis points increase in the Official Cash Rate (OCR).

Taxpayers’ Union Campaigns Manager, Callum Purves, said:

“Kiwis needing to renew their mortgages will bear the brunt of this rise, but the Bank really had no option given the Government’s irresponsible spending and its own bond-buying bonanza that have both driven inflation."

“Given the need for funds to support reconstruction efforts after the cyclone, the Government needs to tighten its belt and reduce non-essential spending such as Auckland light rail, its bungled reform programme, and the excessive number of managers and consultants.”