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Getting runs on the board towards a more prosperous New Zealand
Budget 2013 is about staying the course, reflecting the fact the Government’s priorities have not changed. However, the fiscal restraint to date appears to be paying off in contrast to the situation facing the Australian Government.
If your business is R&D heavy, in the tourism sector or working in residential or commercial construction in Auckland or Christchurch, there is some good news in this Budget for you. For other business, a reduction in ACC levies is really the only material change.
This Budget is notable for its shift into social areas, on alleviating poverty, social housing and education, which have been on the priority list for Labour and the Greens.
It therefore remains a political document, with an eye on next year’s election. It reinforces that, even as new money starts becoming available, this is a Government that does not believe in interventionist initiatives – most of the shifts referred to above are regulatory in nature.
This is in increasingly stark contrast to the emerging policy positions of the major Opposition parties.
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