Cunliffe attacks Nats’ crony capitalism

David Cunliffe went to the lion’s den yesterday with a speech telling a meeting of Kensington Swan’s receivership and liquidation lawyers that there would be a lot less work for them under Labour but saying “the Labour Party is not your enemy. Your enemy is inefficiency, corruption, and the wastage of both public and private wealth. Your enemy is a cosy corruption that helps a few friends of the government get very rich at the expense of the community.”

Unable to retire

Sharples and Turia remind me of an old couple running the family store with no kids to pass it on to. They want to retire. If they do, that’ll be curtains for everything they’ve built. Without them, the Maori Party goes to a deserving death. Plus Key will be pressuring them to stay. They’re his only ghost of a chance. How much longer can they keep going? They’ll be 72 and 70 in 2014.

Flip-flop still leaves hole in education budget

With its polling slip-sliding away, National had no choice but to dump its ideological class size increases. But why did they dump the spending on teacher quality too? If that was such a priority that it justified sacking 1,000 teachers, couldn’t something else be cut? And what other education spending will now be cut to fill National’s budget hole?

Parata to the Headmaster’s office?

Nanaia Mahuta has a wicked sense of humour, as well as being a very smart politician. Her report card on National’s performance on education  gives Parata an F for failing to do homework.  Parata may also risk expulsion.,  judging by John Key’s comments from London that she should talk to the unions. Looks like a call to the headmaster’s office coming up.

Update: Sure enough the Nats have backed down completely from upping class sizes.

Only money matters

How did National get it so wrong on the cuts that would costs too many schools far too many teachers?  Did the Nats do any consultation at all?

One law for some

Financially troubled private school Wanganui Collegiate received a $3million grant in Budget 2012, 3 times the annual operating grant of the larger Wanganui City College. Since then it has been advertising its low class sizes and ability to  reduce fees significantly. Private schools will no doubt be using the current outrage over increased class sizes for recruiting purposes, but they should not be doing it with taxpayers’ money.

Polly Parata

Hekia Parata is demonstrating how political lines endlessly repeated can go horribly wrong if you have nothing else to say. Her Polly Parrot repetitions are wrongly-based, and the longer she and Key go on about how fewer teachers and larger classes  is going to improve the quality of teaching the worse its going to get for National. The hubristic Parata  has galvanised and united the education sector and more backdowns are likely, both in policy and politics.

Banks’ vote protects him from Jones-like accountability

Labour’s got its Auditor-General inquiry into Jones’ approval of Yan’s citizenship. We’ve seen this movie before. In a year, the report will recommend better procedures but nothing more. Jone will be reinstated. The politics is more important. Shearer’s shown he has the power to control his senior MPs and set a high standard of accountability. When will Key match that standard and stand down Banks?

Key’s future gets shorter

Budgets allocate money not just for 1 year, but for the next 4. When National says its putting $511m into education, that’s actually $128m a year over 4 years (less than inflation). So, it stands out like a sore thumb that National has promised to limit teacher loses at 2 per school for only 3 years. After that? Seems like Key doesn’t expect it’ll be his problem.

Sacking ‘only’ 400 teachers ‘good news’ say Nats

National has copped a hell of a backlash for increasing class sizes. The internal polls are said to be diabolical. There are a million parents of school-age kids out there, and they’re pissed off. Now, they’ve flipp-flopped and dipped into the emergency money. They won’t say how many teachers they’re cutting but it’s at least 400, probably 1,000.

Budget app a waste of money

National is crowing that 8,600 people downloaded the Budget App. Pity it doesn’t work.  And, of course, you can view the budget via your phone or tablet’s browser already without an expensive app. The Nats reckon the $59,000 cost is ‘free’ because it came from printing fewer paper editions – a bit like how if you save $100 at a sale it doesn’t matter if you set $60 on fire.

Your choices for PM: a thinker or a ‘glib performance artist’

Colin James contrasts Shearer with Key: At a post-budget standup on Thursday he lacked leader-like fluency, deferring readily – and necessarily – to finance shadow minister David Parker who had his lines off pat.This factor should diminish over time as Shearer settles – though don’t expect him to become the sort of glib performance artist John Key has become. Shearer is too earnest and too aware of complexity.

Who’s National looking out for?

We’re told that these are tough times and we all have to share in the pain. Yeah, right. National dug this hole with $2 billion in ‘fiscally neutral’ tax cuts, billions in subsidies to polluters, and white elephant motorways that aren’t worth what they cost. And who’s being made to bear the cost? The rich are doing well, while the poor and middle class go backwards.

Spin update

Just as a quick update on my pre-budget Spin v reality about a Government that has the worst growth record of any since before Michael Joseph Savage, and has a 52% increase in unemployment despite more than 1,000 NZers leaving for Australia each week.

Budget nasties

This afternoon a couple of ‘hidden treasures’ have come out of the budget. In changes not announced, but discovered 1122 teachers could be losing their jobs and changes are being made to the assets old people are allowed to keep once in residential care. Sneaky, Bill, sneaky…

ImperatorFish: Budget’s School Report

Budget is a sluggish student who shows no enthusiasm or energy, and must be coaxed into making even the tiniest effort. His attitude is all wrong. He is something of a braggart, repeatedly telling all of his peers how fast he is, even though when challenged to a race he always finds an excuse to back out.

National’s budget priorities: Roads to Nowhere

The 3 most expensive items in the Budget: 1. $10.24 billion: Superannuation, 2. $3.69 billion: Debt Servicing, 3. $3.32 billion: National Land Transport Agency (Roads of National Signficance etc) – up $334 million. National are prepared to sack teachers, raise prescription costs and pick paperboy’s pockets to defend their roads that make no economic sense.

Mr Australia waves goodbye

In his Budget speech, David Shearer labelled John Key ‘Mr Australia’. Because that’s where he’s pushing us. The zero hope budget offers a thousand and one nasty little cuts for students, for kids, for low-income workers, for schools, for community groups, for your public services. All to barely – if rosy growth forecasts come true – achieve a micro-surplus in 2014/15 for purely political reasons.

Fail Budget

Budget reaction here. Seems the Nats’ preferred budget tag line is ‘Investing in the future’. Should have called it ‘Waiting for Godot’. Here’s a quick summary: Zero = Fail.

Update: Nats planning to tax kids’ after school jobs. No, not joking.

Ball’s in your court, John

David Shearer, with Shane Jones’ support, has stood Jones down and asked the Auditor-General to investigate his handling of Bill Yan’s citizenship affair. It sets a new, high standard. Whether Jones was right or wrong, he at least has a coherent story and there’s no suggestion of a crime. Compare that John Key allowing John Banks to stay on as a minister while under criminal investigation and having repeatedly lied as he tries to get out of it. Update: The court has found Yong Ming Yan not guilty of all five immigration fraud charges.

Pre-budget reading

An excellent column from Bryan Gould, and a picture of working families in financial distress. Something to ponder, as we await the zero budget.

Where National lost control of the budget spin

Poor political choices, lazy spin management, a succession of statistics highlighting National’s poor management of the economy, a much more active Opposition, and, let’s not forget, a much less friendly media ever since the teapot tapes have combined to make this the first budget that has hurt National, rather than bolstered it.

RWC Tickets

So Key is ‘surprised’ that David Shearer, the local member for Eden Park, accepted tickets to a local game, and doesn’t feel beholden to corporate interests?  He can accept hospitality and still criticise a company is somehow shocking?  I think this tells us more about John, than it surprises the rest of us about David…

David Parker’s Greece-proof paper

Don’t blame Greece: if you change nothing, nothing changes. National’s problems are their own to solve, but they don’t have the guts to look at the big problems in New Zealand’s economy. 0.6% growth in total over the last 3 years – less than population. But National only tinkers and distracts, as our brightest and best head to Aussie.

Four years of failed promises

Labour has published its budget website and a video ripping John Key’s record of broken promises. It’s pretty damning. Yet Key and English want to claim that there’s nothing wrong and growth has been in line with projections. It’s like they’re operating in a parallel universe.

A Tale of Two Networks

Wellington’s electricity network was privatised 20 years ago. The water network wasn’t. Tomorrow evening (Tuesday) researchers Peter Harris, Dick Werry and Jim Turner will present their outcome comparison to a Fabian seminar at St John’s Church Hall in Wellington at 5:30pm. Water network costs rose by 17% over the period, electricity network costs by four times that amount. The reach of both networks is similar – the lesson is that the required return on appreciating assets from privatisation drives up the costs. All welcome to come and discuss. You can register here.

Greens Budget Alternative

The Greens launched their Budget alternative this morning. Titled “Smart Green Economics” it lived up to the billing.  Extra heft was provided by BERL economist Dr Ganesh Nana  paper arguing that the Government’s asset sales programme leaves the government accounts permanently worse off. It was also good to hear about opportunities and their alternatives. We’ve had enough of TINA.

The thinner blue line

National is going to cut 125 police staff. They’re not sworn officers but who’s going to pick up the work they were doing? Sworn cops, of course. Course, tying up cops with paperwork will help the crime stats drop. And with the navy so underfunded half its inshore patrol vessels are being mothballed I bet illegal fishing instances drop too. Funny that.