Bank earnings in New Zealand have surged, with Westpac reporting its annual profit had risen by 12 per cent, hitting just over $1 billion, and predictions the banking sector could post an annual profit of $10 billion. Photo / Montage, File
Staged withdrawal
Five years ago Australia conducted its Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry. Its findings were scandalous. Is there any reason to expect BNZ, ANZ, ASB or Westpac, all Australian- (though actually mostly American) owned banks, would have been behaving themselves any better here? As customers, we are co-responsible for their actions. Without our deposits, they are out of business. Stop whingeing about them sending excessive profits offshore. Divest to a New Zealand bank like TSB or Kiwibank. You can make the switch in the time it takes to watch just one episode of Celebrity Treasure FBoy Voice Block.
Ian Swney, Morrinsville.
Adding it up
Grant Robertson says National’s plan for adjusting income tax thresholds is inflationary. But it’s not. It creates no new money; just lets the taxpayer keep a little more of the cash already in circulation. Labour, on the other hand, now plans to pay out more in childcare subsidies and Working for Families allowances. Since we currently run a Budget deficit, these extra payouts will come from increased government borrowing or money printing. Either of these actions pumps more money into the economy and is therefore inflationary. Fortunately, Jacinda Ardern’s new handouts don’t add up to much, so the inflationary effect should be marginal. Thanks for small mercies, anyone?
John Denton, Eskdale.
Better government
As I read the reports on the upcoming Mid-term elections in the United States and the news out of Italy regarding their recently elected Government, I am dismayed by the apparent worldwide trends. Then I read about the recent poll here in New Zealand and find that roughly 40 per cent of the once-vaunted Team of Five Million are buying into the idea that the National Party should be the next government A read of Andrea Vance’s book Blue Blood should be required reading for every voter in New Zealand, not just because of the events covered but because of the underlying lack of intelligence and integrity that led to them. Surely, we want and deserve improvements each time we elect a new Government, not just more of the same or worse still a return to previously failed ideas.
Dunstan Sheldon, Rototuna.
Hard of hearing
I was bemused to hear Jacinda Ardern’s statement to the media concerning Labour’s low polling. Ardern said she tends not to pay too much attention to polls, focusing on what people tell her instead. I think someone needs to explain to her the difference between hearing and listening. In 40 odd years of my voting life, I have never come across a government less interested in listening.
Eric Wolters, Tauranga.
Conflating inflation
Christopher Luxon’s conflation of Child Care Subsidies and inflation is politically inept. Inflation is a worldwide problem with known causes. New Zealand rates are on a par with Australia and significantly less than, for example, the UK and the Euro area. Unfortunately, he does not say what National would do to cure this problem.
K Clive Britton, Hobsonville.
Hire educated
Our private sector businesses should be actively trying to recruit, with ready acquiescence by our Government, from among the Twitter lay-offs that Elon Musk has whimsically fired. Many are likely to be well-educated, qualified, motivated, and entrepreneurial. Attracting them to work here would add to our economic well-being.
Robert Myers, Auckland Central.
Boom time
A number of issues with the sale of fireworks could be solved by simply moving the date into wintertime. Aligning the sale of fireworks with Matariki, for instance, would enable the celebration of a Kiwi holiday, resulting in less work for firefighters due to vegetation not being as dry and with sunset much earlier, enabling people to start letting off fireworks at a more reasonable time.
C Cadogan, Stanley Pt.
Follow the money
The projected Auckland City budget hole may balloon out to around $270 million next year (NZ Herald, November 7). It’s not hard to see why. The Auckland Super City (population 1.6 million people) uses over 11,000 full-time employees to run its services. Brisbane (population 2.4 million) uses 8200. Auckland spent nearly $7 billion in 2021/22. Brisbane got the job done with $4.3 billion (NZD). Who should you call?
Larry Tompkins, Waiuku.
Keep the change
This budget hole can be easily “fixed”. Cancel 15km of gold-plated cycleways at $18 million per km; job done. Cancel 10 (or more) ridiculous speed humps at $160,000 each, another $1.6 million; and we’re in the black. No need for consultants on this issue.
Doug Brown, Devonport.
Rent relief
David Reid asks (NZ Herald, November 8) why rents aren’t dropping alongside the decrease in house values. Rents aren’t tied to a value of a property but rather the mortgage on the property. If a mortgage is obtained for one million dollars and the house value drops to $900k, the bank still wants the payments of the initial amount loaned. Rents were increased to cover the added costs created when Labour removed the ability to offset expenses, like every other business is able to.
Mark Young, Ōrewa.
About turn
“Brown pulls back from ports pledge” (NZ Herald, November 4). Obviously, “Walk-Back Wayne” had his excuses pre-prepared for the scrapping of his election promises once he was mayor. “Blame Wellington for everything I can’t deliver!” he’s crying now. Two years and 11 months of “walk-back” to go folks (you could have had free buses).
Clyde Scott, Birkenhead.
On banks
The Prime Minister wants the banks to consider their social responsibilities. I suppose she has heard of the Westpac rescue helicopter and ANZ cricket sponsorship. Not to mention saving the kiwi and myriad other good social causes. Peter Newfield, Takapuna.
How much more has the Government taken in taxes in the last year? Don Maclellan, Omokoroa.
On anthems
A correspondent asks whether there is a more stirring national anthem than the French one. I can only assume that he had the sound off when the Welsh team sang before playing the All Blacks. The tune is amazing and the words aren’t so bloodthirsty. Mike Brooke, New Plymouth.
On fireworks
Fireworks aren’t that bad. Back in the day, a few Thunderbolts would leave a mailbox as a stick in the ground, skyrockets that could send a rat into space, and Roman candles to fire at your mate like a bazooka. We have come a long way. Glenn Forsyth, Taupō.
On COP27
Another very expensive, gravy train, talkfest for 45,000 privileged people with no meaningful, real action, once again. Sad and disappointing and nauseating. Bruce Tubb, Devonport.
On shortfall
Auckland Transport could cancel the ridiculous rural speed limit changes. That would shovel $30m into Auckland Council’s $270m hole. Mark Enfield, Kumeu.
Rebuilding Better: How to grow the economy for all Kiwis
You haven’t mentioned a single thing about growing the economy - where is your analysis of how to grow our exports, how to trade ourselves into a better balance of payments, how to stop wasteful expenditure, how to stop our productive land being turned into pine trees, how to improve NZ’s image overseas which has taken a battering recently. That is how we grow the economy for all New Zealanders, that is how we improve life for all. Janet M.
Giving handouts instead of long-term hand-ups just kicks the can down the road. Start with education and finish with education. That will close most of the gaps. Dan M.
Growing the economy requires productivity, innovation, risk-taking but, above all, the ability to enjoy the fruits of your success. If the hand-wringers are to be believed all this is irrelevant so long as everybody is treated equally. Not only is it irrelevant, it is to be discouraged. New Zealand is notorious for its disgraceful treatment of tall poppies, the very people who create the wealth that the hand-wringers want to throw at the non-achievers. Every society has winners and losers. It’s called the Bell Curve, and will statistically always be there. So it’s pity that more recognition is not given to the winners because they are the ones who provide the taxes that support the losers. Colin J.
Your comment makes me embarrassed to be a New Zealander. Life is a little more complex than the picture you paint. It would be wonderful if everyone started on an equal footing but sadly that is impacted by intergenerational wealth and educational opportunities. Lucky you to be one of society’s winners. Andre J.
What about the inequality of who pays all the taxes in this country? It’s the top 20 per cent basically. Doctors, engineers, IT, etc. All educated individuals who work hard and pay at 39 per cent marginal tax rate. Why they are taxed so much is beyond me. The Government needs to stop wasting money, be a bit more conservative and stop splurging on social welfare and rainbow crossings. Stefan S.
Equality is there for all who want to grasp it. Ask the successful migrants that within a generation have kids at uni and own homes and run profitable businesses. It’s called hard work, aspiration, grind, resilience and determination. You make your own luck. There is no free lunch or handout in the real world. Mark C.
Luxon meets Xi Jinping, Russian drone attack on two Ukrainian cities, Trump says Iran wants to speak to the US | NZ Herald News Update