The three governing parties promise to reduce the cost of living, create new jobs and at the same time cut government spending.
Tax cuts are in place, but with the ban on foreign buyers remaining in effect, this plan is $750 million short.
But this is how the new government will address some other problems.
inflation
Inflation and price gouging will remain the focus and pressure on supermarkets, banks and energy suppliers will remain.
NZ First has received a special committee inquiry into the banking sector looking at competitiveness, customer service and profitability. It will also strengthen the powers of the Food Commissioner and examine the possibility of a third supermarket joining the current duopoly. Petrol stations are also under close observation and it is promised that energy prices will be assessed.
Regulation and infrastructure
There is a huge change underway in the construction industry and most regulations are set to be abolished or relaxed. Plans for higher density housing under the Medium Density Residential Standards (MDRS) are essentially ruled out as they are now “optional” for local authorities. Big changes are coming in resource management, agricultural regulation and the building permit process in general.
Projects set to be scrapped include Auckland’s light rail and Let’s Get Wellington Moving. Regional Economic Development Minister Shane Jones will deliver a new $1.2 billion infrastructure fund to create jobs and boost economic potential in the regions.
Public-private partnerships and tolls can also be used to finance infrastructure, alongside new opportunities to finance large projects.
employment
Fair Pay agreements will be phased out by Christmas and the 90 day trial will be extended to all businesses.
The personal grievances will be changed and contractors will no longer be able to challenge their employment status in the Labor Court.
NZ First has secured a guarantee of “moderate” increases in the minimum wage each year. But ACT wants to eliminate average wage requirements for those on skilled immigrant visas.
When it comes to migrants, there are some contradictions in policy. ACT wants to liberalize and increase caps on various immigrant visas, including in the parent category.
But New Zealand First wants to ensure migrants meet real needs and has secured a commitment to long-term plans to address skills gaps or labor shortages.
With ACT deputy leader Brooke van Velden as industrial relations and safety minister, unions are already worried about workers’ rights.
Health and safety laws, which were tightened after the Pike River mine disaster, are also to be reformed.
reserve bank
The Reserve Bank’s remit will be changed to focus solely on price stability – or keeping inflation within the 1-3% target range. This means that housing will no longer be the focus. Instead of the current “medium term”, specific time goals can also be set.
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