We must be in an election campaign. Despite the Government's books being in relatively good shape compared to our OECD peers, the recession-era scare mongering over how political parties will account for every cent of campaign promises continues to dominate questions, rebuttals and political posturing as we near 23 September.
The phrase "show me the money" may well have been made famous by Tom Cruise's Jerry Maguire. But in New Zealand it took on a life of its own, forever cementing itself in our election campaigns, after John Key in 2011 used the phrase to ridicule Phil Goff over Labour's policy platform at a Christchurch leaders' debate.
No doubt it was going to be unleashed this time around, even with the books in surplus and the cash flowing in. Steven Joyce was first out of the blocks on Wednesday, calling on Labour to reveal where exactly in its detailed (for an Opposition Party) fiscal forecasts was its promise to increase paid parental leave from 18 to 26 weeks - a move that had previously been reported as (apparently National saying) that it would cost about an extra $120 million or so a year. To put that into context, that's compared to Core Crown Expenses last year of $74 billion.
(Update: I've just been told by Labour that the cost for its paid parental leave is already included in its 'families package' spending commitments in its fiscal plan (see pg 14). The party is estimating the boost to 26 weeks will cost an extra $90 million a year. An initial move to 22 weeks would cost an extra $45 million.)
Not to be outdone, Grant Robertson fired back at National's $10.5 billion roading announcement - a rather larger spending promise in comparison. You can read his full statement below, along with Joyce's.
Labour is also said to be frustrated that the National-led government is continuing to announce new spending promises by Ministers after Parliament was dissolved and after the pre-election forecasts were released. Simon Bridges was the latest to take a Prefu unallocated cash pressie out from under the post-election spending tree by today announcing an extra few hundred million for an extension of National's broadband package. The announcement appears to reduce the spending promise capacity of the next government.
Here are Joyce and Robertson's statements Wednesday having a go at each other's spending promises:
Steven Joyce:
It’s very surprising that Labour’s fiscal plan came out yesterday with absolutely no mention of their proposal to lift the amount of paid parental leave, National Party Campaign Chair Steven Joyce says.
“Our team has been through the numbers at length, and despite a desire to increase government spending by a massive $31 billion over the next four years, there is no mention of any money earmarked for more paid parental leave,” Mr Joyce says.
“Given how enthusiastic Labour has been about it, and how negative they were about National’s announcement yesterday – surely there must be some money put aside?
“Labour said on social media that they had hidden it in their families package, but there is no money identified in the cost calculations for that package.
“The only mention of paid parental leave was when a bullet point referring to it was added to their webpage online yesterday afternoon once it was raised with them.
“It can’t be in the new budget allowance because there is virtually nothing set aside for the next three years as there is.
“Maybe Grant Robertson and BERL have it stashed away somewhere and they might be able to point it out. Or perhaps they could get a working group together to find it. In the meantime it seems it’s the case of the missing paid parental leave.”
Grant Robertson:
The National Party needs to front up to New Zealanders and show them where the money is coming from for the billions of dollars of election promises that they are making, says Grant Robertson Labour Finance Spokesperson.
"Labour has released its full Fiscal Plan outlining our commitments and how they will be paid for. It has been independently assessed by the economic research agency BERL. This transparency is important to show Kiwis we can follow through on what we promise.
"Now it is time for National to front up and do the same. In the last three weeks, National has made billions of dollars of promises. These are not part of the Government accounts. So far, all National has done is make vague statements about where the funding will come from.
"For example, their $10.5 billion roading package will apparently have an initial contribution from the capital budget. How much? And isn't this the same fund that is meant to be making up for the billions of dollars missing from the Auckland Transport Alignment Plan, a new medical school and a stadium for Christchurch?
"Straight after the Budget in May, Steven Joyce said ‘over the four year period from this budget through to 2021, we actually have no spare cash.’
Yet here he is in the election campaign, throwing money around for all sorts of programmes including a latter day conversion to Paid Parental Leave, and unbudgeted money for education and health programmes.
"National owes New Zealanders a comprehensive statement of their fiscal plan. It’s time for Steven Joyce to answer the question, can you show me the money?" Grant Robertson said.
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