Labour binge on spending and debt continues
Labour’s unaffordable and unconvincing spending promises are continuing at breakneck pace, with the party yesterday racking up another $1.63 billion in spending, says National’s Associate Finance spokesman and Campaign Chair Steven Joyce.
“The country would pay a high price for the election bribes that Labour is making. It has already racked up more than $15.6 billion in extra borrowing over the next four years, and now appears to be going for broke.”
Mr Joyce is commenting in the wake of yesterday’s education announcement by Labour which would involve more borrowing for uncosted, unbudgeted, election promises.
” For example assuming the uncosted ECE policy involves reinstating 2010 funding levels, Labour would have to borrow $665 million over seven years. If Labour intends a compulsory extension for all services it could be as much as $1.4 billion more debt over seven years.
“Labour also seems to have abandoned the work underway to fix up our schools. There is no plan, and no costing, for the more than $1 billion needed for leaky buildings, earthquake strengthening, classroom modernisation, and roll growth. That’s more borrowing, and more debt.
“Kiwi families balancing their household budget every week, understand that for every dollar spent there has to be something coming in to pay for it.”
Mr Joyce says Labour is continuing its old recipe of spend more, tax more, and ask foreign lenders to let them borrow more.
“This is not the time to be piling on debt and borrowing from a volatile world market.
“Labour ramped up spending by 50 per cent in is last five years and has opposed every sensible step to get the books in better shape.
“During this election campaign, the current Labour mob has shown they have learned nothing in the past three years. Under Labour, we would definitely owe our future,” Mr Joyce says.