The latest Infometrics economic forecasts show that after just six months the Ardern-Peters Government is steadily dismantling New Zealand’s strong economy with poor policies, Leader of the Opposition Simon Bridges says.
“Infometrics is saying growth will slow to below 2 per cent next year when Treasury’s pre-election forecasts had growth at 3.7 per cent in 2019,” Mr Bridges says. “That’s almost cutting growth in half.
“And Infometrics is unusually blunt in sheeting home the blame for their lower growth expectations to the policies of this Coalition Government.
“They identify infrastructure, house building and immigration policies as key reasons for the expected decline.
“And worse is to come. This forecast doesn’t take into account the Government’s employment law changes, and this week’s announcements around oil and gas and irrigation funding that will worry investors and slow down regional New Zealand.”
Mr Bridges says New Zealand should be speeding up, not slowing down.
“The world economy is growing faster than it was last year. We should be growing more quickly, adding more jobs, and seeing wages rise.
“If a slowdown happens, the Government will get less tax revenue. Treasury is currently relying on having strong growth next year, not 2 per cent. Lower growth means less money for social services like health and education and an even bigger problem for the Government’s budget.”
Mr Bridges says the Government is on track to be the author of its own misfortune.
“The only thing that has changed New Zealand negatively is the economic policies of this Government. They need to seriously rethink their approach.
“If this slowdown happens it will simply mean lost opportunities for Kiwi workers and their families, and less public services for all.”