Urgent action needed to soften inflation blow for low income NZers

The Green Party says urgent action is needed to soften the blow of inflation for New Zealanders on the lowest incomes.

“High inflation is not experienced equally, and for people on the lowest incomes this means struggling to pay the rent and put food on the table,” says Julie Anne Genter, Finance spokesperson for the Green Party.

“Those with the least experience inflation at a much higher rate than those with the most. The latest benefit stats, also out today, show the value of hardship assistance is rising, especially the value of special needs grants and benefit advance payments.”

The Green Party says that if the Government is concerned about fiscal stimulus, the best approach would be to broaden the tax base to cover untaxed capital gains or wealth of the richest New Zealanders.

“Not only would broadening our tax base help to dampen down aggregate demand and inflation in the short-term, it is essential to having a fairer, stronger tax system,” says Julie Anne Genter.

Alongside broadening our tax base, the Green Party proposes a suite of policies.

“The Green Party solution to cost-of-living pressures on low income households is to ensure everyone has a liveable income by lifting benefits and Working for Families, make rent increases reasonable by introducing rent controls, make public transport fares free, and breakup the supermarket duopoly to stop huge corporate profiteering from people buying the essentials to live,” Julie Anne Genter says.

The Green Party urges the Government not to buckle to pressure from National and ACT parties to cut taxes and reduce essential government spending.

“It would be a huge mistake to turn the short-run problem of global inflation into a long-term problem in New Zealand. The Government can, and must, continue to invest to tackle long-term challenges: taking effective climate action, reducing inequality, and making sure our health system can respond to the current and next pandemic. The austerity of the last National and ACT Government created an infrastructure deficit, and a social and environmental deficit.

“National and ACT’s promise to give tax cuts focussed on high income New Zealanders is a predictable appeal to their base, and would be entirely economically counterproductive because it would put more inflationary pressures in our system and create a less progressive, less fair tax system.”

ENDS

Volunteer

The Greens are proud to be driven by passionate people like you. Today we need your help to take action on the biggest issues facing New Zealand.

Action

Save Auckland's Climate Budget

Sign the petition to stop Mayor Wayne Brown's proposal for dangerous cuts to climate and environmental programmes that protect us from extreme weat...

Action

No New Mines 2023

Action

Expand Voting

Now more than ever, young people in Aotearoa are impacted by Government decisions, and they deserve to have a say. We are calling on all Members of...

Action

End Intensive Winter Grazing

Sign the petition to Labour Ministers, to move faster in bringing regulations into force and end intensive winter grazing.

Action

Trains for Climate

Add your name to our open letter urging the Minister for Finance Grant Robertson to save our passenger trains between Wellington, the Wairarapa and...

Action

Healthy Oceans 2022

Join our Healthy Oceans Crew to help us keep the health and protection of our oceans high on the Labour Government’s political agenda.

Action

It's time: A Ministry for Rainbow Communities

Join our call asking the Prime Minister to establish a Ministry for Rainbow Communities that can champion Rainbow issues.

Action

No new mines on conservation land

Sign the open letter asking Labour Ministers to stick to their promise of banning new mining projects on conservation land.

Action

Allow community ownership of our buses

Public transport is an essential service and helps to tackle the climate crisis by reducing our carbon emissions. But there are barriers to communi...

Action

Local Events

We have activists across Aotearoa / New Zealand who are working hard to build a brighter future for our kids and grandkids. This page lists upcomin...

Latest Finance Announcements

Story

Tax the banks

Instead of creating an appeal fund and one-off lotto draw, the Labour Government could tax the billions of dollars banks have made in unearned, exc...

Urgent action needed to support families

The tools exist to help families with surging costs – and as costs continue to rise it is more urgent than ever that we use them, the Green Party ...

BPS constraints risk impacting low income people the most

The Government will constrain itself unnecessarily at Budget 2023 unless it changes the tax system to raise revenue from the wealthiest few which c...

Case for excess profit tax on banks clearer than ever

The Government should adopt an excess profits tax and use any revenue raised to help people make ends meet, following the rise in the Official Cash...

Tax excess profits, don’t leave it to the good will of large corporations

The Green Party is once again calling on the Government to introduce an excess profits tax and use the money to support people, rather than relying...

RBNZ report strengthens case for excess profit tax and more income support

A drop in household income from rising bank interest rates further demonstrates the need for an excess profits tax, the Green Party says.

Story

Govt must urgently wipe MSD debt

The Green Party is calling on the Government to clear debt people are being forced into by MSD, and support those doing it toughest.

Additional cyclone support needed for people

The Green Party welcomes the relief funding announced today and calls on the Government to go further by providing additional direct support to peo...

Greens call for Civil Defence Payment to be doubled

The Green Party is today calling on the Government to double the maximum Civil Defence Payment for Aucklanders affected by flooding.

Greens welcome childcare support, call for more action

The Green Party is welcoming the modest support for families announced by the Labour Government but calling for more urgent action to ease the pres...

Benefit stats show urgent need to wipe Work and Income debt

The Government needs to clear the debt that MSD has forced hundreds of thousands of low income people to take on and immediately lift benefits, say...

Welfare support must keep pace with inflation

The tools exist to lift every family out of poverty – and as costs continue to rise it is more urgent than ever that we use them, the Green Party s...