Collins hits back at KiwiSaver funds manager

National Leader Judith Collins has hit back at funds manager Rupert Carlyon of Kōura Wealth KiwiSaver, for his criticisms of National’s BusinessStart plan, which allow Kiwis to access $20,000 of their own money to start a new business.

“I’d like Rupert to tell New Zealanders why they shouldn’t use their own money to invest in their own business,” Ms Collins said.

“Rupert is only the first fee-charging funds manager to tell Kiwis who intend starting a new business that he knows how to invest their money better than they do.

“National believes Kiwis put money into KiwiSaver for a rainy day. That rainy day has well and truly arrived for the hundreds of thousands of Kiwis whose jobs risk being lost over the months ahead.

“BusinessStart is about Kiwis who lose their jobs being able to draw $20,000 from their KiwiSaver accounts and receive another $10,000 in tax credits to get their own small business off the ground – and JobStart gives them another $10,000 when they create a job for someone else.

“BusinessStart then includes further tax breaks to strongly encourage BusinessStart recipients to replenish their KiwiSaver accounts as soon as possible after being involved in the job-creation programme.

“The effect is like you borrowing from your own KiwiSaver fund as you face the biggest financial crisis of your life.

“BusinessStart is not compulsory – it’s for Kiwis with an idea that their accountant or financial adviser has professionally assessed can be made to fly.

“Fund managers like Rupert should remember that the Kiwis who use BusinessStart don’t have a job and can’t contribute to their funds, or any other fund.

“They should also remember that everyone who has a private-sector job only has it because someone, somewhere, had the guts to set up a new business.

“National believes in choice, personal responsibility and backs Kiwis to make their decisions about their money.”

BusinessStart and JobStart will be open for 17 months after the election, from 1 November 2020 to 31 March 2022.