Election 2020: Audrey Young - More of a gesture than a tax policy

Finance Minister Grant Robertson revealing Labour's tax poilcy, with Revenue Minister Stuart Nash. Photo / Mark Mitchell

For the past three elections, National's strongest weapon against Labour has been Labour's tax policy.

Jacinda Ardern's stardust last election stopped glittering when she made a captain's call to allow unknown tax policy from the tax working group to be implemented this term.

Ardern reversed her call but too late and Labour's rise stalled at 37 per cent of the Party vote.

Labour is not going put a bullseye on itself again this election, not when some polls suggest it could govern alone.

So it has decided this time not to have a tax policy – well almost not have one.

What Finance Minister Grant Robertson announced today is more of a gesture than a policy when you are promising to put up taxes for the top 2 per cent of income-earners, to get $2 billion over four years to help pay down forecast debt of $200 billion.

The current top rate is 33c on income over $70,000.

Labour leader and Prime Minister Jacinda Ardern on the campaign trail this week. Photo / George Novak

Reinstating a 39c top rate on income over $180,000 is estimated to affect 72,000 people and for someone lucky enough to be earning $200,000 it will cost them $23 a week or, as Winston Peters says, about a cup of coffee a day.

It is a policy symbol designed to placate the party's base. The party can't be accused of doing nothing to make the rich pay a little more.

But it's hardly going to be policy that scares former National supporters into detaching themselves from Labour.

At the margins, it is so insipid it may push a few of Labour's hardline left into the arms of the high-taxing Greens.

It leaves National with a very small target against Labour.

National leader Judith Collins.on the campaign trail this week. Photo / Mark Mitchell

National's Judith Collins is not silly enough to be complaining that the wealthy have been slogged with such a miniscule amount.

The best form of attack for Collins is the what-ifs – what-if Labour needs the Greens to form a Government.

Ardern has ruled out a capital gains tax under her leadership because it has been such a vote-killer for Labour.

But neither she nor Robertson has ruled out the prospect of negotiating their way into Government with tax policy.