LABOUR DITHERING OVER TAX POLICY FOR POLITICAL GAIN

Labour is on the verge of abandoning its higher tax policy for the sake of political gain, Deputy Prime Minister and New Zealand First Leader Winston Peters said today.

"Labour has always advocated higher taxes for higher income earners so it can pay for its failed socialist policies, but now Dr Cullen says it might have to abandon that policy because higher taxes won't look good going into an election.

"They're constantly rewriting their script, so they can abandon their core principles for the sake of politically expediency. They've been dithering over their tax policy since the last election, but serious in-fighting has prevented a decision," Mr Peters says.

"By contrast, New Zealand First has provided a positive, stabilising force in Government with decisive tax policy.

"We have removed the superannuation surtax, benefitting around 70,000 of our elderly people, and come 1 July we will deliver on the tax cuts, putting an extra $1 billion into the pockets of New Zealanders."

"Will Labour take another 460 days to make its final decision, as it meanders quietly into the political wilderness?"