21 May 2010

Morning Report: local papers

7:01 am on 21 May 2010

All the major newspapers lead on Friday with the impact of Thursday's Budget.

NZ Herald

The New Zealand Herald asks "Who wins in Bill's game?". It says the Government has delivered income tax cuts for all, as part of a plan it says is a once-in-a-generation opportunity to change the direction of the economy.

It also attempts to summarise the 160 page Budget in 150 words, headlined by GST, tax cuts and landlords losing some tax benefits.

Dominion Post

The Dominion Post says it was lollies for all, with some unexpected winners in Mr English's second budget.

The paper's lead article says the Finance Minister has pulled a rabbit out of the hat with $15 billion in tax cuts in the next four years and a plan to beat Australia out of the starting blocks.

It quotes Mr English as saying New Zealand is on track to a position most developed economies will envy but the paper goes on to say the price is a sharp rise in the cost of living.

A 2.5% increase in GST is tipped to increase inflation on the back of higher tobacco taxes, more expensive fuel and power prices, and a rise in ACC levies.

The Press

The Press talks to Christchurch man Paul McMahon who believes his family will be no better off after Thursday's Budget.

Mr McMahon says Government calculations show the family would get an extra $15 per week but he believes the GST rise will cost his family.

Also on the front page, a poll of Press readers offers differing opinions: some say the Budget panders to the rich while others think it is suitable for the times.


The banner headline of The Otago Daily Times is "Budget 2010: taxing time".

The paper's political editor says Mr English has given more than he has taken away in a Budget that is being greeted with more compliments than criticism.

The Otago Daily Times is the only paper to include a non-budget story on its front page: it says the Chalmers Community Board has been forced into a backdown over parking in Port Chalmers, as finger-pointing begins over a lack of consultation.