Economic Policy > Smaller Government Policy
New Conservative holds the view that the role of government is to maintain order and justice in the land while defending the freedoms and economic prosperity of the people.
Future families must not be burdened with debt accumulated by current politicians.
This requires reductions in the government budget and the sizes of government departments, in addition to cutting red tape and taxes as highlighted in our other policy statements.
New Conservative is committed to running a balanced budget and will not borrow from overseas to implement any of our policies. New Conservative will put any promises on hold, if needed, until the economy is in better shape. There will also be many reductions in social costs from our other policies and greater economic activity will increase the government's tax take in time.
New Conservative has identified a number of areas of government spending where billions in annual savings can be found, some of these are:
Foreign aid, saving $0.7 billion.
Super Fund contributions, saving $1.5 billion.
Fees-free university, saving $0.4 billion.
Provincial Growth Fund, saving $1 billion.
The $3.1 billion per annum lost offshore due to the Emissions Trading Scheme will now remain in New Zealand.
New Conservative will also review retirement and travel perks for current and former MPs, reduce the number of MPs in parliament and make staffing reductions, all with the aim to reduce costs. Salaries for public servants earning over $100,000 would be temporary frozen, until the economy is in better shape. Public sector accountability and performance indicators for bureaucrats will be introduced to ensure that their pay does not outpace the private sector. These reviews will allow non-performing areas of government to be identified. A system of bonuses for public servants who find cost reductions and efficiencies will be introduced.
New Conservative will require the Treasury to recommend other appropriate savings and cuts of non-essential spending to ensure that all our policies always lead to an overall reduction in the size of the government.