2. Hon MARK GOSCHE (Labour—Maungakiekie) Link to this
to the Minister of Finance
Has he received any reports advocating an increase in both the GST rate and the age of eligibility for New Zealand superannuation?
Hon Dr MICHAEL CULLEN (Minister of Finance) Link to this
I have seen a report from the OECD that, amongst a number of unhelpful suggestions, suggests that we should increase the rate of GST and cut New Zealand superannuation, either by raising the age of eligibility or lowering the level of indexation. Mr English subsequently endorsed that report. I can assure the House I have no plans to increase the rate of GST or to change the age of eligibility or, indeed, the indexation requirements for New Zealand superannuation. I call on all members of the House, other than Mr English, to endorse that.
Hon Dr MICHAEL CULLEN Link to this
As Mr English has just said that that was a stupid idea, I should note that in 1998-99 the New Zealand Government of the day, of which he was a member, cut national superannuation from 65 percent of the average wage for a married couple to 60 percent of the average wage for a married couple. One of the first things the incoming Labour Government did was to restore the level of New Zealand superannuation to 65 percent.