Election 2020: New Tax Hole? Labor accuses National of ‘basic error’ in its figures

Labor has rekindled one of the most contentious issues of the 2017 election by accusing National of a “basic error” in costing its policies.

The party’s finance spokesman, Grant Robertson, this morning accused National of leaving a $ 4 billion gap in its economic plan.

The so-called error refers to the savings National would make by canceling its contributions to the NZ Super Fund.

National’s economic plan said that eliminating the contributions would save $ 19.1 billion, but Robertson said Treasury estimates show the government would have contributed $ 15 billion during that time.

“National has used the wrong numbers,” Robertson said.

“The mistake means they have $ 4 billion less than so-called ‘savings’ to pay for their ill-thought-out plan.

“This raises the question of whether there are other errors in his plan.”

National has been contacted for comment.

The allegations of accounting errors are remarkably similar in tone to similar allegations made in the 2017 campaign, only the roles were reversed.

At the time, National finance spokesman Steven Joyce accused the then Labor opposition of having a “$ 11.7 billion tax hole.”

Labor denied this fiercely, but admitted that its new spending levels would be adjusted for four years.

Today, Robertson pointed to National’s credibility for making what he called a “basic error.”

“National’s proposal is not only irresponsible when New Zealand needs stability and certainty, but it is showing that it lacks the experience to handle the economy.”

For the second time in the space of a week, he referenced former national prime ministers, John Key and Bill English.

“There is no longer John Key or Bill English. No one who knows how to run a budget would have made a basic mistake like this.”

He again said that National’s figures show the party would need to make cuts in key services, such as health and education, for the numbers to add up.

This is something that National finance spokesman Paul Goldsmith has denied and has promised not to cut spending in these areas if elected.

“National’s policy is desperate, irresponsible and unaffordable,” Robertson said.