Tuesday's papers: New Zealand faces a decade of deficits; accused killer charged with rape of another woman; death penalty debate; boy killed in farm bike collision.
NZ Herald
The New Zealand Herald says Finance Minister Michael Cullen has rained on National leader John Key's parade with budget deficits of billions of dollars predicted for the next 10 years. Despite Treasury's pre-election report showing economic forecasts being worse than even the most pessimistic predictions, the paper says John Key is still expected to announce a programme of tax cutson Wednesday.
The Herald also says that house prices are expected to bottom out in March and could drop as as much as 25% on boom levels.
Dominion Post
The Dominion Post also warns New Zealand is facing a decade of deficits and Treasury's books show the kitty is almost empty for election bribes. It says poor economic growth will increase unemployment to more than 5%.
It also reports National's hardline stance on punishing serious criminals has sparked public debate that the death penalty should be brought back for "animal offenders".
The Press
The Press highlights some of the disclosures made during the first day of a jury trial for Liam James Reid who is accused of murdering deaf woman Emma Agnew - including that he is also on trial for a second rape nine days after Miss Agnew disappeared.
The paper says the company building a tower block in Gloucester Street - the South Island's tallest building - has gone into administration and is believed to owe about $10 million.
ODT
The Otago Daily Times describes a dramatic rescue of two motorists, who had to remain in their burning vehicle for at least 15 minutes while firefighters freed their crashed car of high voltage power lines.
A North Otago boy, aged 10 years, was killed on a Georgetown dairy farm when the 80cc motorbike he was riding collided with a four-wheel drive vehicle.
