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Home / New Zealand

Audrey Young: Not the sort of budget to get you dancing or raging against

Audrey Young
By Audrey Young
Senior Political Correspondent·NZ Herald·
17 May, 2018 05:00 PM3 mins to read

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The New Zealand Herald interviews Simon Bridges following the announcement of the 2018 Labour budget.

It was not a Budget that would have you dancing in the streets.

Nor was it a Budget to rage against – although Simon Bridges tried valiantly.

In the end, almost everyone was right about this Budget.

Simon Bridges said National had left a legacy of a growing economy and the books in tip-top shape for the new Government.

Labour won't thank them – but nor did National thank Labour for a similar bequest in 2009 when the global financial crisis hit.

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Jacinda Ardern said health, housing and education.

She said it would be predictable but not boring. True enough. It would be impossible for any creation of Jacinda Ardern, Grant Robertson and Winston Peters to be boring.

Greens co-leader James Shaw said it would be the greenest Budget ever, and it is.

The $100 million green investment fund for clean technologies is a reality. Former leader Russel Norman who first promoted the policy must be green with envy if not purple with pride.

I was right when I suggested at a press conference to announce $900 million more for Foreign Affairs that Winston Peters just needs to snap his fingers in this Government, which he created.

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This time, it is the racing industry and tax deductibility for investors in standout breeding yearlings.

A standout yearling is defined as one "that commands attention by virtue of its bloodlines, looks and racing potential" and apparently IRD will be the judge.

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Most importantly, Grant Robertson said it would be a fiscally responsible Budget and it was.

Business is suspicious of the new Government, confidence surveys show, but not enough to make it hurt the Government's coffers.

Ironically it was a boost in Government revenue from business profits that delivered Robertson almost $1 billion more in revenue than expected in December. He spent a little of the extra, but didn't blow the lot.

And in order to have more windfalls into the future, Robertson needs to prove he is responsible.

Clearly he wants the pot to grow because much more spending is expected in future years.

The education sector expects a bigger share of the pie although parents with higher needs children may not feel hard done by.

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Health received intensive car in this Budget.

Labour Maori MPs will be wanting more for their constituencies.

And Peters will be wanting to deliver more to superannuitants before the next election.

Perhaps that will bring on the dancing.

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