Economic Policy > Growth and Productivity Policy
The economy will need stimulation as the incoming government will inherit an economy in recession.
New Conservative will implement a tax-free threshold for income, reduce fuel taxes, and give relief to small businesses by halting scheduled minimum wage increases.
These policies will also greatly benefit young people just entering the workforce and decrease inequality among low-wage earners by lowering taxes.
In the face of global supply shocks, New Zealand needs to bolster its ability to be self-sufficient in producing core goods, services, and local supply chains. We will focus economic activity on production and bringing more manufacturing back by making it easier to produce high value products locally.
Government departments will be encouraged to source products produced and manufactured in New Zealand where possible even if marginally more expensive.
Entrepreneurial endeavours should be encouraged and supported where appropriate through R&D, via start-up and innovation grants, such as those managed by the Callaghan Innovation Fund.
To encourage all New Zealand businesses to hire more staff and increase employment, New Conservative will introduce “no-fault employment termination” where an employer can terminate employment at any time with a standard 2 weeks notice and 2 weeks extra payout, which may be reduced if it is due to employee misconduct.
New Zealand businesses and farmers are overburdened with complex regulations. New Conservative will hold a full review of the regulatory books to simplify and modernise rules, while removing those that provide no benefit to Health & Safety.
New Conservative recognises that SMEs cannot support the same managerial staff as large businesses, so Health & Safety and other regulatory requirements must be tailored to the sector accordingly and require less paperwork and cost.
New Conservative’s focus will be on streamlining existing regulations and ensuring they make sense and are appropriately enforced. New Conservative will support reforms of the Resource Management Act and Significant Natural Areas with a focus on private property rights.
These policies will give New Zealand a much needed productivity advantage and stimulate economic growth.