RIP National’s ‘No new taxes’ promise: New $209 million “banking tax” will hammer savers and mortgage holders

Commenting on Finance Minister Nicola Willis’ decision to introduce a new tax - sorry, ‘levy’ - on banks and deposit takers in Budget 2026, Taxpayers’ Union spokesperson Tory Relf said:

“Minister Willis’ ‘no new taxes’ promise is now dead. As much as the Beehive are trying to frame it as a levy on the big banks, make no mistake that this new tax will be paid by savers and mortgage holders. It’s a sleight of the hand.”

“Any so-called levy designed to recover $209 million over four years will be felt at the very time savers and mortgage holders are set to be hammered. Comparisons to the UK and Australia demonstrate this this is nothing more than a naked tax grab.”

“Once again, our political class have taken the easy option to tax harder, rather than make the tough but necessary reductions in spending to ensure Kiwis have the best incentives to invest and save.”