Labour’s failure to manage the economy is translating into to more debt and bigger deficits, National's Finance spokesperson Nicola Willis says.

“Treasury’s ‘Interim Financial Statements of the Government of New Zealand for the eleven months ended 31 May 2023’ released today shows that the Government has underestimated how badly the economy is tanking – and now the books have blown out.

“Government debt has soared by an additional $5 billion, and the books have been plunged even further into the red, with a deficit that is $2 billion larger than forecast.

“A weaker economy will only worsen the already significant challenges facing New Zealand.

“It’s more evidence that we need an urgent change of direction. The $2 billion shortfall in company tax revenue is an indictment on the Government’s economic management.

“Businesses are drowning under a tidal wave of new costs, worsening inflation, and these are weighing the economy down.

“Labour’s only plan to get through the cost-of-living crisis was more spending and higher taxes. Now the books are blowing out and Kiwis have nothing to show for it.

“It’s time for a fresh approach. National has a plan to fix the economy, so we can afford the frontline services Kiwis deserve and get New Zealand back on track.”