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Senior Citizens—Effect of Government Policies

Wednesday 21 April 2010 Hansard source (external site)

Goff4. Hon PHIL GOFF (Leader of the Opposition) Link to this
to the Minister of Finance

What reassurance did he give to delegates at the Grey Power conference about his explanation of how Government policies were affecting vulnerable, older people?

EnglishHon BILL ENGLISH (Minister of Finance) Link to this

I pointed out a number of the Government’s initiatives that have helped them. In health, the Government has delivered an extra 12,000 elective operations this year, which is a record annual increase. In law and order, we have provided for an extra 600 front-line police officers, and have given the police new tools, such as Tasers, to go after criminals. And I pointed out that since 1 October 2008 the New Zealand rate of national superannuation for a married couple has increased by $100 a fortnight in the hand.

GoffHon Phil Goff Link to this

Did his explanation to the delegates about his cleaning his own bathroom impress them, when they know that Ministers’ cleaning costs are paid for them and this Minister actually asked for more, and when people like Desmond Peat, a war veteran who has had a leg amputated and is on the waiting list for a heart bypass operation, has just had his home help cut by 1½ hours?

SmithMr SPEAKER Link to this

If I heard the question rightly, it asked about the reaction of an audience at a meeting. The Minister is not responsible for how an organisation may react. [ Interruption] I am dealing with an issue. If the question had asked specifically about the speech, that would have been fine, but the question asked about the reaction of an audience. The Minister is not responsible for that. I would like the member to please rephrase his question to make it come clearly within the Standing Orders.

GoffHon Phil Goff Link to this

What I asked was whether the Minister had impressed the delegates, and he has an opinion on that because he gave the speech.

SmithMr SPEAKER Link to this

If the member would repeat his question. I accept the point he is making, absolutely.

GoffHon Phil Goff Link to this

Did his explanation about cleaning his own bathroom impress delegates, when they know that Ministers’ cleaning costs are paid for them and this particular Minister asked for more, and when people like Desmond Peat, a war veteran who has had a leg amputated and who is waiting for heart surgery, has just had 1½ hours of his home help cut, leaving him with nothing?

EnglishHon BILL ENGLISH Link to this

Actually, the Prime Minister has removed cleaning costs; it was a privilege available to Labour Ministers that National Ministers do not receive. I thought the member had a serious intent behind his question, which was home care for vulnerable older people, but I see that he does not.

GoffHon Phil Goff Link to this

What does the Minister, in light of what he was told by the delegates at the conference, say, then, about the man about whom I received a letter today? Henry is 84, has heart problems and bowel cancer, and has difficulty walking, and his 1¾ hours of home care have just been cut. That is miserable. Why is the Minister of Finance allowing that to happen?

EnglishHon BILL ENGLISH Link to this

At the meeting with Grey Power, I outlined to Grey Power that we felt the system ought to deal with cases individually to ensure that vulnerable older people were not left without care. My colleague the Minister of Health has pointed out that people have the opportunity to bring those cases forward and they will be dealt with.

GoffHon Phil Goff Link to this

I seek leave to table the letter about Henry, which identifies his son’s name and his circumstances, and as Henry lives in or near the member’s—

SmithMr SPEAKER Link to this

The last bit was not necessary to seek leave to table a document. Leave is sought to table that document. Is there any objection? There is no objection.

Document, by leave, laid on the Table of the House.

GoodhewJo Goodhew Link to this

What upfront compensation was provided to superannuitants and vulnerable older New Zealanders when GST was last increased, in 1989?

EnglishHon BILL ENGLISH Link to this

When GST was increased 21 years ago by the Labour Cabinet, which included the current leader and deputy leader of the Labour Party—Phil Goff and Annette King—there was not one cent of compensation for superannuitants. I am not surprised, because Phil Goff has told the media and the public that he is against an increase in GST but will not roll it back.

GoffHon Phil Goff Link to this

Did the Grey Power delegates think it was fair that frail and vulnerable elderly people on low incomes have been stripped of their home—

SmithMr SPEAKER Link to this

The member asked whether Grey Power delegates did something; the Minister has no responsibility for that.

GoffHon Phil Goff Link to this

Did the delegates tell the Minister that they thought it was fair that frail and elderly people were being stripped of their home-care assistance while he, as Minister of Finance, has foreshadowed tax cuts that will give him and his Cabinet colleagues about $240 extra a week?

EnglishHon BILL ENGLISH Link to this

They raised the issue of home care, because we have an open and constructive relationship with Grey Power. Where they have raised legitimate cases that should be looked at, the Minister of Health has undertaken to look at them.

GoodhewJo Goodhew Link to this

How would superannuitants be compensated for any increase in GST as part of any tax package in the Budget next month?

EnglishHon BILL ENGLISH Link to this

For the benefit of the Leader of the Opposition, who has made a number of public statements that indicate he does not understand how New Zealand Superannuation works, let me explain. If GST is increased, there would be a once-only increase in the rate of inflation of just over 2 percent, and after-tax superannuation rates would be increased on the day of any GST increase by that amount. To meet other and ongoing price increases, the usual annual inflation adjustment would be made to superannuation rates, so that superannuitants’ spending power was preserved. Finally, any personal income tax cuts would also increase the amount of superannuation that people would receive in the hand, because there would be less tax on superannuation and because it would raise the floor of 66 percent of the after-tax average wage.

GoffHon Phil Goff Link to this

Did the delegates tell Mr English that they thought the Government had its priorities right in cutting home help, in cutting out funding for the Accident Compensation Corporation’s falls prevention programme, and in cutting orthopaedic surgery for elderly people, while this Government is giving a privileged and wealthy elite the biggest cuts in recent times to their income tax in the forthcoming Budget?

EnglishHon BILL ENGLISH Link to this

In fact, no, they did not say that, because they understand what the Leader of the Opposition does not, which is that in the depths of a significant recession the Government has protected the elderly, as is indicated by the fact that New Zealand Superannuation for a married couple is now $100 per fortnight higher than it was in October 2008. They also understand that we need to lift growth in this economy if we are to give them a decent standard of living.

GoffHon Phil Goff Link to this

At the end of his discussion with the Grey Power delegates, did he have any better understanding of why they think this Government is looking after itself and its wealthy mates while slashing help to elderly people who have paid taxes all of their lives?

EnglishHon BILL ENGLISH Link to this

Coming from the leader of a party whose Government squandered 9 years of a growing economy—

GoffHon Phil Goff Link to this

I raise a point of order, Mr Speaker. [ Interruption]

SmithMr SPEAKER Link to this

A point of order has been called. That is unacceptable.

GoffHon Phil Goff Link to this

Mr Speaker, I think you know that it is not appropriate for the Minister to start an answer to a question in that way.

BrownleeHon Gerry Brownlee Link to this

Mr Speaker, you have previously ruled that if members ask questions that make outrageous assertions, such as those made by the Hon Phil Goff in that question, they should expect a hard flick back.

MallardHon Trevor Mallard Link to this

Speaking to the point of order, Mr Speaker.

SmithMr SPEAKER Link to this

This will be the last—[ Interruption] People are offending all over the place. I remind them that a point of order is being heard, and it should be heard in silence. Please do not try my patience. This will be the last comment I hear.

MallardHon Trevor Mallard Link to this

I think the comment made by the Leader of the Opposition as part of his question was definitely political but not offensive, and did not invite that sort of reaction. If the member were trying to be offensive, he would have invited the Minister to pay the money back.

SmithMr SPEAKER Link to this

The only reason why I will not come down very hard on the Hon Trevor Mallard is that other members have offended under this point of order process, and it would be seen as being unfair. But that comment was very unacceptable. It was because points like that were built into the questions asked by the Leader of the Opposition during this course of questioning that I did not object to the manner in which the Minister of Finance responded to the previous question. If members want to load into questions material that some Ministers may find offensive, then they should not seek my protection when a Minister responds in kind. That is why I did not intervene on that occasion. Members will have noticed that where members ask straight questions and a Minister makes gratuitous comments, I come down on the Minister pretty hard. But a series of questions during this question No. 4 have been personally pretty critical of the Minister, so we cannot blame the Minister for being critical in response to the previous question. I agree that he has to answer the question.

EnglishHon BILL ENGLISH Link to this

I am surprised the member is so motivated about this issue, because despite Labour having record surpluses and a fast-growing economy, it cut home care, and that member never complained. He leads a party that squandered the opportunity to make important changes to support our older people, and they have not forgiven him for that.

MallardHon Trevor Mallard Link to this

I seek leave to table in this House a copy of the request on behalf of Bill English for additional cleaning money.

SmithMr SPEAKER Link to this

Is this document a letter?

MallardHon Trevor Mallard Link to this

It is either a letter or an email; I have it in my room.

SmithMr SPEAKER Link to this

Leave is sought to table that document. Is there any objection? There is objection.

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