Vernon Small explores the difficulty that Labour has within its ranks in getting support for tax cuts. The Hive understands that the same divisions within the wider party are apparent in the caucus and Cabinet, maybe even between the PM and Finance Minister.
He also suggests that the Government is downplaying its massive infrastructure spend in Auckland because other cities might get jealous. The Hive is seeing a bit of this in Wellington, with some people really angry of the idea that Auckland should be made the country's only truly internationally competitive city (indeed Wellington is pressing ahead with plans to be even more competitive and international). However, we are relaxed on this at The Hive. Auckland is the biggest city and major international gateway for New Zealand. Something has to be done urgently to improve the road, rail and other infrastructure in Auckland lest Auckland continue to be a productivity drain on the economy. What is good for Auckland is ultimately good for the rest of the country. We are fully behind the Government on this point.
