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Home / New Zealand

Political noise drowns out economic reality for Kiwis – Editorial

NZ Herald
15 May, 2025 05:00 PM3 mins to read

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Shoppers are being stung more and more every time they are at the supermarket checkout. Photo / 123rf

Shoppers are being stung more and more every time they are at the supermarket checkout. Photo / 123rf

Editorial
  • Food prices rose 3.7% in the year to April, outpacing the 2.6% inflation rate.
  • Butter prices surged 65.3%, with a 500g pack costing $7.42 last month.
  • Departures to Australia are at record levels, driven by mid-career individuals and families.

Yet another truth that was hard to swallow was revealed yesterday.

The cost of what we put on our plates increased yet again, this time by 3.7% in the 12 months to April.

This was significantly ahead of the annual inflation rate of 2.6%.

Butter, cheese and milk caused the greatest harm to our wallets, with butter prices increasing a whopping 65.3%.

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To put things into perspective, the price for 500g of butter this time last year was about $3 less than the $7.42 average we shelled out last month.

It was yet another reminder, and a timely nudge, that we are still in the midst of a cost-of-living crisis.

While political debate and commentary this week has revolved around a crass and unbecoming obscenity in an opinion column, and Te Pāti Māori’s punishment for its parliamentary haka, we should remember the top reason why voters elected this coalition.

It’s the economy, stupid. To hark back to the famous line from James Carville, political adviser to Bill Clinton when he was running for president.

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Kiwi battlers on their way to work care little about the musings of a foul-mouthed columnist or the rulings of Parliament’s Privileges Committee. Instead, their concerns revolve around what they can afford for dinner, how they will pay for childcare, and whether they will keep their jobs during the downturn.

Last month, this newspaper reported on its front page how we were feeling about the economy with the latest Ipsos Cost of Living Monitor.

Bluntly, respondents said it was harder than when inflation peaked in 2022.

Earlier this week, we also reported that departures from New Zealand were at a record level and now fuelled by not just those in their early 20s but people in mid-career with families.

Nearly three in every five citizen departures went to Australia, based on the latest estimates.

Prices for international airfares increased 24.7% in April, compared with March. People are spending what little they’ve got to leave.

Politicians and commentators on both sides of the parliamentary aisle would be wise, less than a week before Budget day, to put petty politics aside and see what life is like outside their beltway bubble.

If only for a few days.

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