Former finance minister Roger Douglas hopes to be elected through the Act party this year. Photo / Glenn Jeffrey
Former finance minister Roger Douglas says cutting taxes, slashing government spending by $5 billion and privatising parts of the health and education sectors could put $100 a week back into the pocket of average wage earners.
Sir Roger, whose policies became known as "Rogernomics" during the fourth Labour
government, has said he will stand at the election for ACT and hopes to be elected through the party's list.
ACT has been keen to maximise publicity around the return of its founder and today Sir Roger presented several of the policies he would push for if he returned to the Cabinet table as part of a National-ACT government.
They included:
* Immediately cutting the top tax rate to 33c and adjusting tax thresholds for inflation since 1999;
* eventually introducing a tax-free threshold of up to $40,000;
* axing the Working for Families scheme.
* slashing government spending by between $3 billion and $5 billion;
* introducing education vouchers for all children;
* renting out hospital wards to doctors to practise privately.
Sir Roger said he was keen to return to Cabinet, and if he had the opportunity would look to stop Labour's "growth-busting" policies in their tracks.
The Labour-led Government's policies had increased government spending by 10 percent in real terms, but with little or no gain in productivity.
Axing those policies would put about $100 a week back into the wallets of average wage earners, he said.
The top personal tax rate and Working For Families in particular had reduced incentives for workers through excessively high marginal tax rates.
He said help to working families was better given through a tax-free threshold.
Sir Roger criticised Finance Minister Michael Cullen, who he said was "something of a disaster" and "one of the poorer ministers of finance in the last 50 years".
A spokesman for Dr Cullen said he would comment on Sir Roger's suggestions this afternoon.
ACT leader Rodney Hide said ACT was keen to reveal its policies as early as possible to distinguish itself from National, whose policies were almost identical to Labour's.
Electing National alone would not significantly change the country's direction, even though there were many people in the party who agreed with ACT's policies.
- NZPA
