Three Waters 2.0: Our ad in the Herald exposing David Parker's central planning "reforms"

With the support of hundreds of supporters like you, we managed to secure a four-page lift-out in the NZ Herald this week to coincide with the final day on our 'Hands Off Our Homes: Stop Central Planning Committees' roadshow.

View a high-res image of the ad here

David Parker's reforms would strip democratic control over resource allocation and planning decisions from local councils and place them in the hands of unelected, co-governed central planning committees.

The Government has learnt its lesson from Three Waters and isn't spending millions of taxpayer dollars on TV adverts (or otherwise talking about what they are doing) this time. Our main objective with the nationwide roadshow tour was to raise awareness about these reforms and explain to New Zealanders what these radical changes will mean for them.

Over the coming weeks we will continue to expose Minister Parker's Soviet-style central planning committees for what they are and make it a major political thorn in the Government's side as we head towards October's election.

We can only force this matter onto the political agenda with people power. If you haven't already, please take a moment to add your name to the petition opposing these undemocratic reforms.

🔍 Future of Local Government 👩🏻‍💼👨🏻‍💼🔺

Not content with ripping away democratic control of water infrastructure and planning powers from local councils, a Government-appointed panel this week released their final report into the future of local government. 

As we predicted, the report advocates for even more centralisation and removal of local voice and democratic accountability from decision making. The report recommends reorganizing local government with "the resource management reform boundaries as a starting point for discussions". 😳

This would amount to a mass amalgamation of New Zealand's councils further reducing the ratepayers' ability to engage in the democratic process. 

New Zealand is one of the most highly centralized countries in the world. Just a tenth of government expenditure is delivered through our councils. And those councils are extremely large by international comparisons. Auckland's Super City is a prime example of bigger not being better – rather than save money it's led to more managers, more layers of bureaucracy, and much higher rates.

This Review presented a great opportunity to fix the issues in local councils and put power closer to the people, Instead it has focussed on identity politics and public sector gimmicks like citizens’ assemblies and "participatory budgeting". And the only structural reforms it proposes would likely see more centralizations and a further undermining of democratic accountability.

New Zealanders aren’t interested in nebulous concepts like embedding a wellbeing focus in local government – they want to see high quality services delivered at a local level for the lowest rates possible. That means small, democratically accountable, powerful local councils where local people have the opportunity every three years to kick out politicians who aren’t performing.

At the end of this month, in the middle of a cost of living crisis, taxpayers up and down New Zealand will be slapped with four new tax increases, so get ready as Grant Robertson is coming for your wallet.

On 1 July, the following taxes are increasing:

🛑 Petrol excise by 29 cents/litre (including GST)

🛑 Road user charges by 56%

🛑 Ute tax by up to $1,725

🛑 Alcohol tax by 6.6%

Worse still, all four tax increases will have a disproportionately large impact on rural and poorer households. 

Cost of living crisis? What cost of living crisis?

The fuel excise and diesel road user charge increases will punish those who often don't have any other choice but to drive either due to where they live or the nature of their work.

Similarly, the ute tax will slam hard-working farmers and tradies who simply don't have any other option but to drive a ute – for them, they are tools of the trade. This increase is particularly cruel for those who lost vehicles in the recent flooding and will now have to pay up to $6,900 in tax just to replace a damaged work vehicle. 

And where does this money go? To subsidize those in the cities (where public transport is an option) so they can buy themselves a new Tesla. 

Tens of thousands of New Zealanders have already signed our petition calling for the ute tax to be scrapped. You can sign the petition here.

After all those tax hikes, you may need a beer or two to relax but, after a 6.9% alcohol excise hike last year, it's going up a further 6.6% this year too! Cheers.

Tax Preferences Principles Bill – David Parker trying to screw the scrum

David Parker’s Tax Principles Bill faced scrutiny at Select Committee last week, and of course your humble Taxpayers’ Union was there to give them a piece of taxpayers’ minds.

Scores of interested parties turned up to rip holes in this bill, which if nothing else shows one thing: Despite David Parker’s protestations that his 7 ‘principles’ were universally agreed upon fact, clearly they are little more than the preferences of one man and his lackeys.

For instance, take the Government’s attempt to enshrine in law the idea that tax systems must be progressive. Our economist, Ray Deacon, made the point that “there is no reason why a flat tax applied across all income levels, with an appropriately structured system of transfer payments, cannot achieve the goals that a progressive tax system is aiming for.” As it happens, even the Inland Revenue Department agrees with us!

Many of these "principles" would screw the scrum by shutting down democratic debate on our tax system by claiming Labour's opinions are objective fact and handing the power to dictate tax policy to an unelected Commissioner. If these principles are universal, Minister Parker must live in a different universe to us. 

In our written submission, we suggested that the bill be withdrawn or, at the very least, should be reworked to be based on the Tax Foundation's Principles of Sound Tax Policy. 

Ray also suggested that it would be more appropriate to rename the proposal as the Tax Preferences Bill. At least then the Government would be honest in their intentions. You can watch our submission here.

Taxpayer Victory: Michael Wood Resigns

In our last update, we called for Michael Wood's resignation over his failure to appropriately manage his conflict of interest as Minister of Transport while owning shares in Auckland Airport. Our petition has since gathered thousands of signatures.

It subsequently emerged that Wood had undeclared financial interest in a number of other areas that conflicted with his Ministerial responsibilities. It was also revealed that Minister Wood was contacted 16 times by the Cabinet Office to sell his shares, not just the 12 times that had previously been stated. For multiple breaches of disclosure requirements as bad as this, Prime Minister Hipkins shouldn't have given Wood the opportunity to resign and should have sacked him instead!

This is a significant victory for taxpayers and one we care deeply about – accountability is one of the three key pillars of our mission. All taxpayers are entitled to expect that Ministers appropriately manage conflicts of interest and are, well, honest. Democracies can only function properly when the public has confidence that Ministers' personal financial interests aren't influencing decisions. 

When Ministers fail to uphold high standards of transparency and accountability, public trust in Government is eroded and it lowers the bar for what is considered acceptable conduct by future Ministers. Hipkins has yet to rule out Wood's return to the Cabinet table in a future Government. We say this should be the end of Mr Wood's political career. 

We welcome the announcement that work is underway to improve Cabinet's systems for managing conflicts of interest, we can only hope that this yields more accountability rather than just another box-ticking exercise. 

Thank you for your support.

Yours aye,

Callum Purves Campaigns Manager New Zealand Taxpayers’ Union.

Media coverage:

The Spinoff New poll points to National-Act government despite bump for Greens

NZ Herald Political poll: National, Act could form Government

Stuff National and ACT could form government, according to latest poll

RNZ New poll shows National, ACT keeping edge ahead of Labour

Politik Collins paves the way

The Working Group with David Farrar, Raf Manji and Damien Grant

Newstalk ZB Afternoon Edition: 14 June 2023 (02:08)

NZ Herald Te Pāti Māori coalition a drag on Labour - poll

Otago Daily Times Council won't pay for statue: mayor

Newstalk ZB THE RE-WRAP: Gang Gaslighting Continues (07:09)

NZ Herald Will a recession lose Labour the election? PM Chris Hipkins, Grant Robertson respond

Otago Daily Times Poll: mayor should stay, not chief exec

The Press Govt told capital gains tax is not a ‘universally accepted’ taxation principle

NZ Local Government Magazine Reactions to Local Government Review report

The Platform David Farrar on the DIA making unauthorised changes to the Three Waters bill

interest.co.nz A super-majority of voters want to fix tax bracket creep but only two political parties agree

Taxpayers' Union on Tour: Stop Central Planning Committees 🛑🏘️

On Monday, we kicked off our nationwide tour to Stop Central Planning Committees in Christchurch and the team are currently working their way down the South Island – tonight we are jointly hosting an event with Federated Farmers at 6pm at the Invercargill Workingmen's Club (details of all the events are on our website here). 

Make no mistake, David Parker's replacement to the Resource Management Act will make resource consenting even harder. While Three Waters was about taking control of community assets — to put into centralized, co-governed entities — these bills are about taking control of planning laws and what you can do with your home, your property, or your farm — taking the control away from democratically elected councils to put them in 15 centralized, co-governed, so-called 'Regional Planning Committees'.

The effects will be dramatic. As a voter, you will no longer be able to hold to account the decision makers who will determine what you can produce on your farm, build on your property, or how your community is planned.  The Federated Farmers and the Taxpayers' Union are no fans of the current Resource Management Act, but David Parker's new regime will make getting a resource consent much, much harder.

Unlike Three Waters, the Government isn't talking about these bills or making the public aware of what it is doing. That's why we've taken to the road.

David Parker's replacement to the RMA is Three Waters 2.0. It will mean:

🔴 Higher building costs

🔴 More red tape

🔴 No local control

🔴 More co-governance

Sound familiar?

Thanks to everyone who has come along to our events so far. Check out this video from Star News to see what we have been up to.

You can learn more about the proposed reforms at www.HandsOffOurHomes.nz

We'll be in your town soon 🚗🚩

You can find our full itinerary at www.taxpayers.org.nz/roadshow

We look forward to meeting you on the road.

The tyranny of unelected council bureaucrats ⚖️🗳️

Here at the Taxpayers' Union, we believe that decisions are best made as close to the people they affect as possible. More often than not that means getting the Government to stop interfering with our lives full stop, but sometimes it means taking decisions in our communities rather than letting them be taken by politicians in Wellington. 

The problem is that too often the real power in our councils doesn't rest with mayors and councillors but instead is in the hands of unelected officials. We have seen these problems come into sharp focus in Gore where a longstanding council chief executive seems to be unwilling to work with their new democratically elected mayor.

I faced similar challenge serving as a councillor in Scotland where unelected officials would use all manner of ways to obstruct the wishes of democratically elected representatives and, ultimately, of the voters. Writing in the Otago Daily Times, I explain why this issue is such a problem for our local democracy. 

Thank you for your support.

Yours aye,

Callum Purves Campaigns Manager New Zealand Taxpayers’ Union.

Media coverage:

Rural News Expensive pet food!

NZ City Latest polling has National's support once again overtaking Labour's

NZ Herald Taxpayers’ Union-Curia poll: National and Act could govern alone; Labour down but Hipkins more popular than Luxon

Stuff National and Act could form government, new Taxpayers’ Union Curia poll suggests

The Spinoff National moves ahead of Labour in new poll

RNZ Taxpayers Union-Curia poll points towards National-ACT government

RNZ The Panel with Ali Jones and Jeremy Elwood (Part One) (11:44)

Te Ao Māori News Poll: National + Act coalition could fly

The Daily Blog BREAKING: New Taxpayers Union Poll – ACT soar to victory while Greens stall!

Newstalk ZB Barry Soper: ZB senior political correspondent on Chris Luxon ruling out working with Te Pāti Māori after the general election

The Working Group with David Seymour, Matthew Hooton & Damien Grant

Newstalk ZB David Seymour: Act leader says a vote for Act prevents a National govt that campaigns from the right and governs from the left

Newstalk ZB Aaron Dahmen: Te Pāti Māori's glee has been palpable over the last few days

NZ Herald Herald’s poll of polls shows Christopher Luxon’s big gamble

NBR Political jockeying, budget pressures, election race

Kiwiblog Bet you none of them have paid additional tax?

Gisborne Herald Sentiment might be shifting again

Gone by Lunchtime Coalitions, coronations and chaos

Newstalk ZB Friday Faceoff: Josie Pagani and Peter Dunne (24:16)

RNZ Week in Politics: Te Pāti Māori in spotlight as Luxon paints a picture of 'chaos'

Indian Newslink Labour and National stay in close fight, not their leaders

The Press It's time to drop the 5% MMP threshold and let more smaller parties into Parliament

Rotorua Now New political poll: Main parties in a tight race

Newstalk ZB Kerre Woodham: I don't think it's unreasonable to have a co-analysis of any government programme

InfraNews Campaign launched against ‘undemocratic’ RMA reform

The Post Callum Purves: If the Government really wants to tackle cost of living, it needs to kick its spending habit

The Spinoff Free prescriptions an ‘important step forward’ – Greens

Indian Newslink Labour’s populist budget of relief brings a few surprises

Stuff Trustee tax increase 'is response to spike in trust use to avoid tax'

RNZ Political opponents take aim at Budget 2023: 'Blowout', 'broke', 'Budget for the rich'

Stuff The no frills, higher bills Budget

Feds News Federated Farmers launches nine-stop RMA rural roadshow

The Spinoff Five very similar polls, three very different results

NZ Herald On the Tiles: Episode 54 – Post-Budget, post-polls, and post-housing u-turns (02:51)

Stuff Janet Wilson: National should be doing better in the polls, but it's not happening

Otago Daily Times Callum Purves: Spotlight on power imbalance

Star News Taxpayers Union trying to halt RMA reforms

whatsoninvers.nz Taxpayers' Union Launches Nationwide Hands Off Our Homes! Roadshow

The Working Group with Ruth Richardson, Bernard Hickey and Damien Grant

The Common Room NZ "Co-governance for your deck!"

The Taxpayers’ Union has condemned the Government’s announcement that it will increase the trustee tax rate to 39 cents in the dollar to align it with the highest personal income tax rate.

Taxpayers’ Union Campaigns Manager, Callum Purves, said:

“Chris Hipkins’s ‘no new taxes’ pledge lasted about a week with today’s trustee tax rate hike. It’s a broken promise.

”The Government is trying to justify this tax hike by pointing to the most wealthy. But those people can keep money within company structures and pay the 28% company tax rate. In reality this tax grab will hit small business owners who often hold business in trusts for legitimate reasons.” 

Commenting on today’s budget announcement, Taxpayers’ Union Campaigns Manager, Callum Purves, said:

“With the exception of rolling out free ECE to two years and dropping prescription co-payments, there is almost nothing that the average taxpayer receives from today, except higher fuel taxes and a promise to increase trustee taxes next year.

“The effects of record high levels of inflation mean that families are paying higher levels of taxation each and every year. Instead of any tax relief in this budget, they get a LED light bulb, and a bus ride for their kids.

“Compared to the half-year fiscal and economic update, the revised Treasury forecasts are alarming. Gross debt is projected to be $21 billion higher by 2027 than estimated just 6 months ago – despite Grant Robertson’s attempts to paint a rosier picture.

“Government is driving inflation even higher. Government is forecast never to return to the size as a proportion of the economy as pre-COVID. It needs to tackle its spending problem, and this budget just doesn’t deliver.”

The Taxpayers’ Union has slammed the Government’s decision to hike fuel taxes from July. The 25 cent reduction in petrol excise (29 cents with GST) and the equivalent reduction in diesel road user charges will be scrapped at the end of June.

Taxpayers’ Union Campaigns Manager, Callum Purves, said:

“Despite all the promises of focussing the cost of living, July’s fuel tax hikes contained in today’s budget will hit Kiwis already struggling with rising inflation. Outside the main cities, most people still rely on their cars to get about on a daily basis. This increase will particularly hit lower income families and New Zealanders living in rural areas – the very people struggling the most with the costs of living.

“If the Government stopped allowing the National Land Transport Fund to subsidize loss-making railway lines, walking and cycle ways, and even the expensive ‘Road to Zero’ advertising campaign, it could maintain fuel taxes at lower levels while still maintaining and investing in our roading network.” 

Taxpayers’ Union welcomes ‘no new taxes’ budget pledge but devil will be in the detail

Commenting on the Prime Minister’s pre-budget speech, Taxpayers’ Union Campaigns Manager, Callum Purves, said:

“While the cyclone recovery will be costly, hiking taxes on hardworking New Zealanders during a cost of living crisis would have been the wrong approach. We also welcome the ruling out of a capital gains tax or wealth tax for this year's budget, which would have stifled investment and driven high-net worth individuals abroad who make a large contribution to the funding of our public services.

“But the Prime Minister’s ‘no new taxes’ pledge must not ring hollow. After all the talk yesterday of the wealthy not paying their ‘fair share’ in tax, it is disappointing that the Government has not yet dropped its plans for a regressive fuel tax hike in June that will disproportionately hit poor and rural communities.

“Moreover, with inflation continuing to run high, the problem of bracket creep means that many Kiwis are paying an ever higher share of their income to the Government. This particularly hurts those on middle incomes.

“No new taxes might be a good election slogan, but for it to be true, the Government must refrain from hiking fuel taxes and address the inflation tax.”

Waka Kotahi’s fee changes a blatant tax grab and additional barrier to upskilling

Changes to motor vehicle licensing and registration fees will whack productive New Zealanders with higher costs while Waka Kotahi (New Zealand Transport Agency) continues to grow its backroom bureaucracy warns the New Zealand Taxpayers' Union.

When the proposed changes were announced for consultation last year, the Taxpayers Union warned against the changes. Waka Kotahi is expected to collect an additional $66 million in annual revenue as a result of the changes plus any additional money taken from the National Land Transport Fund — $35 million was the figure proposed last year.

Winners from the changes:

• Convicted drink drivers: (84% decrease alcohol interlock license cost)
• Collectors of exotic vehicles (87% reduction in fees for Category A special interest left hand drive light vehicles)
• Drivers who fail their license tests (removal of resit fees)
• Waka Kotahi ($66 million increase in annual revenue).

Losers from the changes:

• Uber and taxi drivers (193% increase in the cost for a 1-year P endorsement)
• Tow truck drivers (172% increase in 1-Year Vehicle Recovery endorsement)
• Forklift drivers (41% increase in endorsement fees)
• All motorists (Increase of between 71% and 374% for everyone renewing their vehicle rego)
• Older siblings (268% increase in the exemption fee for restricted drivers carrying passengers)
• Night-shift workers (268% increase in the exemption fee for restricted drivers driving to work between 10pm and 5am)

Taxpayers’ Union Campaigns Manager, Callum Purves says:

“We warned against these changes last year when the consultation was announced. Jacking up fees for hard-working New Zealanders while reducing costs on convicted drink drivers and collectors of exotic vehicles is neither fair nor necessary.

“The real winner from these changes is Waka Kotahi’s bureaucracy which, based on the consultation document, plans to employ an additional 265 full-time equivalent staff – a 55.6% increase on 2018 numbers.

“Particularly concerning is the increased license endorsement costs for Uber, taxi, forklift and tow-truck drivers. These endorsement fees act as a barrier to low-income New Zealanders considering upskilling and will simply exacerbate the cost of living crisis for these individuals."

No new taxes? Say hello to the Government's 'app tax'📱🧾

For a Government that committed not to introduce new taxes, they seem to be doing a good job of coming up with innovative ideas for how to pinch more of your hard earned dollars.

Remember the furore last year about plans to introduce GST on KiwiSaver fund managers that was dropped within 24 hours? Turns out the parliamentary bill that was set to bring that in had another tax hidden within it.

On Thursday, the Financial and Expenditure Select Committee reported back to Parliament on the Government's latest Taxation Bill. National's minority report (opposing the Bill) highlights the proposal to change the rules for GST on digital services.

At the moment, if a sole trader or business makes less than $60,000 a year, they do not have to register for and charge GST on their services. The bill proposes to remove this threshold and charge GST on any and all services provided on or though a digital platform. It's not a new tax on the foreign-own corporations such as Uber or Airbnb – it's a tax grab from the small business owners who occasionally rent out a spare bedroom through an online app, or those who drive part-time for a ride share service.

So what does this mean for you? Well, your Uber driver, your takeaway delivery person or your Airbnb provider will now have charge 15 percent GST and this will push up the price you pay for all of these services.

This 'app tax' would mean a $20 Uber fare would cost $23 while an Airbnb stay that currently costs $300 will now cost $345. Across the year, these increases will add up.

The Government tax take has continued to increase in recent years while Kiwis have been squeezed as a result of record levels of inflation. This app tax will simply make the situation worse.

Chris Hipkins said that he would keep to the Labour's commitments on tax. If he really means that, he should drop this 'app tax' immediately. 

Public service neutrality: Why Rob Campbell had to go 🪑❌

Here at the Taxpayers' Union we believe public service neutrality is important. We need to be able to trust the civil service machine to act impartially and deliver on the policies of whichever party is in office regardless of their own personal political beliefs. Officials are accountable to democratically elected politicians, and it should never be the other way around.

Countries such as the United States allow incoming presidents and governments to sack incumbent officials and put their own trusted advisors into the senior positions of government agencies. But, in general, New Zealand governments do not have the power to remove senior public servants, thus the need for neutrality.

Unfortunately over the last few decades, the public service has becoming less and less neutral. On cultural issues in particular, many of the positions departments and ministries take are overtly political. Wellington is something of a woke bubble, an echo chamber of employees who all agree with each other but who can become detached from wider public opinion. In the UK, we refer to this ‘the blob’.

As soon as we became aware of the Rob Campbell social media rant, we wrote to the Public Service Commissioner asking him to investigate the remarks as a likely breach of the Public Service Commission's Code of Conduct. We can't think of a more blatant breach of political neutrality in recent history – the leader of the Government's health department abusing the Leader of the Opposition and accusing him of 'dog whistle' politics on a matter that is subject to intense political debate (co-governance and the delivery of public services).

Credit where credit is due, the decisions taken by the Ministers of Heath and the Environment (apparently encouraged by the Prime Minister's office) were the rights ones. 

On Thursday, Rob Campbell defended his outburst in an interview with Peter Williams on Taxpayer Talk. You can listen to that podcast interview here.

Fancies of murdering James Cook: Your taxes funding fringe activism 🎭💵

This week it was revealed that a stage show called ‘The Savage Coloniser’ received $107,280 in Creative NZ and Foundation North funding. The play is based on a book of poems of the same name, which includes a poem for the 250th anniversary of James Cook's arrival in New Zealand.

You can read an extract above and, if you are struggling to grasp the beauty of the piece, The Spinoff – also taxpayer funded – have put together a helpful 'How to read a poem' guide to explain what you should think and feel when reading it. 👀

New Zealanders will have different views on the value of arts funding. You can make a case for it being used to widen access to the arts or support cultural projects that might not otherwise be viable.

What it shouldn’t be used for is to fund fringe activism that arguably promotes racial hatred and violence.

With a shortage of ICU nurses, and communities still cut off due to Cyclone Gabrielle, we say there is better things to fund than a stage show about murdering James Cook and other white people.

Some have criticised those of us who have called out the funding, questioning our commitment to free speech and arguing that the withdrawal of funding would amount to censorship. 

There are two problems with this argument. First, Creative NZ appear to only ever fund Left-wing projects. When was the last time you saw them fund a play about the benefits of capitalism, freedom, or free trade? Given the funding decisions are brazenly political (remember the gushing documentaries about Chlöe Swarbrick?), the blob can't claim this is purely about art. 

Secondly, the Taxpayers' Union is a staunch defender of free speech. We are certainly not suggesting the poem or the show should be banned. The point is that if people want to go and see a show like this, that's up to them, but we shouldn't all be forced to pay for it.

Why the rush? The dangers of passing new laws too quickly ⚖️💨

Taxpayer Talk with Peter Williams: Nick Stewart on the impacts of Cyclone Gabrielle 🎙️

This week on Taxpayer Talk, Peter Williams sits down with Nick Stewart to discuss the impacts of Cyclone Gabrielle. The recent cyclone devastated many parts of the country, particularly Hawke's Bay and Gisborne on the East Coast of the North Island. Along with claiming lives and livelihoods, the cyclone exposed serious problems with the adequacy of our infrastructure.

Nick is the Chief Executive of Stewart Group, a Hawke's Bay based financial services firm. Being from the area, Nick is understandably interested in the effects this event will have on the region, and country, over many years to come. He shares his perspective and insights as to how we can recover and different ways this rebuild could be paid for. 

Also in this podcast, our War on Waste team target exorbitant spending by government departments on catering.

Listen to the episode | Apple | Spotify | Google Podcasts | iHeart Radio

Thank you for your support.

Yours aye,

Callum Purves Campaigns Manager New Zealand Taxpayers’ Union.

Media coverage:

Newshub Te Whatu Ora/Health NZ chair Rob Campbell unrepentant after claims comments breached political impartiality

Kiwiblog The consensus for a Three Waters model

Stuff More trust National's leaders on the economy - Taxpayers' Union Curia Poll

Newstalk ZB Afternoon Edition: 28 February 2023 – Economy Poll

Newstalk ZB Barry Soper: ZB senior political correspondent on the Taxpayers Union/Curia poll saying National is more trusted on the economy

The Working Group with Matthew Hooton, Brooke Van Veldon and Damien Grant

Stuff MP labels environment ministry outrageous and hypocritical over flight use

NBR Campbell's sacking, National's policy, cyclone recovery

Government should cut wasteful spending – not hike taxes – to fund cyclone clean up

The Taxpayers’ Union is calling on the Government to rule out raising taxes to fund the cost of the Cyclone Gabrielle clean up after earlier today Chris Hipkins refused to rule out a ‘cyclone levy’ similar to that used after the Queensland floods.

Instead, the Government should use this as an opportunity to cut back on wasteful spending and prioritise clean up costs and investment in necessary infrastructure going forward.

Taxpayers’ Union Campaigns Manager, Callum Purves, said:

“While rebuilding after the devastation of the past week will undoubtedly come with a cost, the last thing Kiwis need now is a tax hike during a cost of living crisis."

“The Government can’t just refocus its policies, it needs to refocus its spending too. The over $1 billion spent on consultants each year, the significant increase in managers in the public service, and the expected nearly $9 billion central government contribution to Auckland light rail would be good places to start.”

Fuel tax rises should be scrapped as inflation remains stubbornly high

The diesel road-user charge reduction scheme, which reduced rates by 36 per cent, is due to end with charges going up significantly tomorrow (1 February 2023).

The charge hike will mean a large increase in the cost of transport for diesel-powered vehicles, which is most of our heavy transport fleet. This will flow through to prices for consumers, manufacturers, and primary producers, fuelling already high levels of inflation.

Taxpayers’ Union Campaigns Manager, Callum Purves, said:

“New Prime Minister Chris Hipkins has said all the right things when it comes to getting back to bread-and-butter politics and focussing on the cost of living, but actions speak louder than words.

“Tomorrow’s diesel road-user charge hike will hit Kiwi families and businesses hard at a time when persistently high inflation is already hurting. With petrol excise hikes looming in the coming months, it’s still not too late to have a rethink and keep fuel taxes down.”