Social wage absolutely no comfort to households
Thursday 9 Dec 2004
Rodney Hide - Press Releases - Economy
Dr Cullen's spin that the average New Zealand household can take much satisfaction from the fact that "the social wage
has increased" is laughable, ACT Leader Rodney Hide today.
"The reality is the average household is no better off in real terms than it was when Labour came to power. In fact the
Government is taking nearly $3,000 extra in real terms out of each household."
On Tuesday in the House, Dr Cullen confirmed that in real terms the average household net income after direct taxation
is no better than it was four years ago.
Today in the House Dr Cullen confirmed that the average household in real terms actually now pays "$2,910" more in
direct and indirect taxes than was the case in the 1999/2000 financial year.
"The average household's ability to make ends meet has eroded substantially with this greedy Government increasing
taxes every year.
"It's an insult that Dr Cullen now implies no one's too worried because his so-called social wage has increased. He's
talking about our education and healthcare services improving and he's dreaming. The reality is thousands of New
Zealanders continue to wait and die on the waiting lists and our education standards are at an all-time low.
"Kiwis will be perplexed to hear Dr Cullen's new excuse for stagnant net incomes. He says forget what you're being
paid, look at your social wage! The reality is Kiwis want pay rises from tax cuts. They are sick of being squeezed," Mr
Hide said.
ENDS