Budget Loads More Debt On Young People
new-zealand-labour-party
Sun May 30 2010 12:00:00 GMT+1200 (New Zealand Standard Time)
Budget Loads More Debt On Young People
Sunday, 30 May 2010, 10:38 am
Press Release: New Zealand Labour Party
**Budget Loads More Debt On Young People
**
The Government's Budget loads a generation of young people with debt and gives them next to nothing in return says Labour's spokesperson for Youth Affairs, Jacinda Ardern.
“This is a generation that the government is loading with debt: the debt of borrowing for tax changes that most young people won't benefit from, the debt of an ETS scheme where they will be subsidising heavy polluters, and the future debt of superannuation, which this Government has suspended contributions to," Jacinda Ardern said.
"Young people in their first jobs or in part -time work will get very little from the Government's tax cuts, but will feel the effect of a big hike in GST.”
Jacinda Ardern says she is also concerned the Government’s new tertiary policies will have a detrimental effect on young people and do little to improve youth unemployment.
“Young people are more likely to be unemployed than any other age group. This Budget on its own will only create 10,000 jobs gradually when there are 60,000 young people alone who are out of work,” Jacinda Ardern said.
“Recent unemployment data, released in March this year, indicated that 40,000 15-19 year olds are unemployed; that’s nearly 8000 up on the previous year.
“I’m also concerned for the thousands of young people who will be turned away from further training and education.
“While the Youth Guarantee places may have been extended in the workforce, this does not counteract the effect that capping places on enrolments for Polytechnics and Universities will have.
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“What’s worse is that, for those who are fortunate enough to even get a place in tertiary education, their costs will increase immensely, with the budget confirming that the Government will lift the cap on course fees.”
“Add this to the implementation of property tax changes, and young people will find themselves facing higher costs. Young Kiwis are already finding their landlords are increasing rents and this is set to continue.”
"For young people, this is an unfair and short sighted Budget."
ENDS
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