Labour Poses a Serious Risk to Business

  • Jack Elder
Prime Minister

"Labour poses a serious risk to business," Prime Minister Jenny Shipley said today.

"Labour Party promises, just this week alone, would cost an extra three cents in the dollar on the corporate tax rate.

In a speech to the NZ Forest Owners Association, Jenny Shipley commented on Labour's $100 million industry assistance programme and its promise to set Housing New Zealand rents at no more than 25 per cent of household income, estimated to cost $280 million per year.

"Labour continues to throw other people's money around like confetti. These rash promises will have a huge cost for New Zealand businesses.

"New Zealand businesses need to know that every $120 million in promised extra spending means another cent on the corporate tax rate.

"In the last three days, Labour's promises will add a further 3.3 cents.

"At this time Australia's corporate tax is three cents lower in the dollar than ours. If Labour's big spenders were elected their extravagant promises would see businesses going to Australia, robbing New Zealanders of jobs."