Time For Debate About Tax
We need to have a debate about tax
Kiwis need to talk seriously about our tax regime says Peter Malcolm of the Income Equality—Closing the Gap organisation in response to the Green Party tax policy and Labour dithering around the edges of possible tax changes. Malcolm said there are a great many voices from across the income and wealth spectrum, calling for the government to collect more taxes to fund our increasingly creaky health system as well as education, social welfare and infrastructure.
But we should not assume that the call for more tax is simply the poor wanting to punish the wealthy. 'The truth is that we all, those in middle income through to the wealthy should pay more tax', said Malcolm. 'International surveys suggest that those countries that are most happy are those where more tax is paid by everyone. This also requires a broader based tax regime so tax is paid not just on income but on capital profits as well ie all income regardless of source'.
Malcolm went on to say that the Scandinavian nations have the highest levels of measured happiness but also pay more tax than countries like New Zealand. Scandinavians appreciate government services that meet the needs of their people and they know these must be paid for.
This debate needs to take place across the political spectrum. Whether we vote to the left or right we should face up to the fact that we must all pay more tax if we are to have world class public services. We are encouraged by some wealthy Kiwis who support this concept. And of course even in the USA some mega rich and highly successful business tycoons like Warren Buffet and Bill Gates support principles of equality.
'All political parties should be developing their tax policies for the election campaign next year' said Malcolm. 'Even it takes several years to move to higher taxes this debate should be above party politics'.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
NZ Herald
7 hours ago
- NZ Herald
Mo official trailer
Herald NOW: PM on why so many Kiwis are leaving NZ Prime Minister Chris Luxon joins Herald NOW's Ryan Bridge on OCR and why so many Kiwis are leaving NZ. Video / Herald NOW
Scoop
8 hours ago
- Scoop
SBS Group Delivers Solid Full-year Result, Supporting More Kiwis Into Homes
Press Release – SBS Bank The SBS Group, which includes SBS Bank, SBS Insurance, SBS Wealth and Finance Now, reported a pre-tax Operating Surplus of $43.1 million, up 2.1% on the prior year. Both lending and deposit growth indicated strong underlying performance. The SBS Group has delivered a solid result for the year ending 31 March 2025, rearming its commitment to supporting its Members on their financial journeys – even in one of the toughest economic climates of the past two decades. Despite inflation, rising unemployment, and subdued GDP growth, SBS Bank remained focused on delivering value to its Members across New Zealand. 'This year has once again shown just how strong and resilient the SBS Group is,' said SBS Group Chief Executive Mark McLean, 'Even with the pressures of a challenging economic environment and wider market challenges, we stayed true to our purpose – helping Kiwis find a place to call home.' The SBS Group, which includes SBS Bank, SBS Insurance, SBS Wealth and Finance Now, reported a pre-tax Operating Surplus of $43.1 million, up 2.1% on the prior year. Both lending and deposit growth indicated strong underlying performance. 'Over the past year, we have maintained a strong focus on sustainable and responsible growth.' Mr McLean said, 'Strengthening our balance sheet has been a key priority, supported by continued growth in funding through both retail and wholesale channels. A highlight was our third successful NZDX-listed medium-term note issuance – an important milestone for a bank of our size.' SBS Bank's capital ratio remains strong at 16.4%, up 0.1% on the prior year and well above regulatory requirements (9%) reinforcing the bank's capacity to support ongoing growth and investment. Delivering for first home buyers and investors In a market where affordability remains a challenge, the SBS Group supported 1,479 first home buyers this year. 'Our market-leading FirstHome Combo helps first home buyers to be $156 better off each fortnight— a meaningful saving in today's climate and an increase year on year,' Mr McLean said. Total home lending rose 3.7% to $4.5 billion, a strong result for a bank of SBS Bank's size. For the third year-in-a-row, Canstar also named SBS Bank as the 'Bank of the Year for First Home Buyers'. As the OCR reduced, SBS Bank maintained market-leading term investment rates, resulting in a 3.5% increase in Member funding balances to $4.6 billion. During the year, SBS Bank welcomed more than 5,800 new Members, reinforcing the strength of its mutual model. Investing in the future SBS Bank is making progress on its digital transformation, with significant investment to future-proof systems, enhance service, and support innovation with a new home loan tool to simplify the home loan application process. SBS Bank confirms it has made the decision to close its Cromwell, Timaru and Hamilton Branches throughout June, and that the satellite Windsor branch will merge with the main Invercargill branch today (30th May). Utilisation of these branches in particular has reduced as consumer preferences and expectations continue to shift towards digital banking solutions, along with the use of intermediaries for home lending. The remaining 10 branches in the network will continue to play an important role in providing specialist advisory services to Members in those locations. Cybersecurity remains a top priority, with significant investment in secure systems, supported by a seven-day-a-week, New Zealand-based contact centre – helping Members stay safe from scams and fraud. SBS Bank Chairperson Joe O'Connell said the results reflect the commitment of the SBS Bank team to the bank's purpose, strategy and mutual values. I'm proud of our SBS Bank team across the country who have stayed focused on delivering great outcomes for Members despite a tough operating environment,' Mr O'Connell said. 'As a mutual bank, our priority is always our Members and ensuring the Group is in a strong position to help them through the challenges, and opportunities, in the year ahead.' Mr O'Connell said. 'As we look to 2026 and beyond, our strategy remains centred on sustainable growth, investing in innovation and continuing to deliver real value for our Members.' About SBS Bank Established in 1869, SBS Bank is a building society that has achieved bank registration while retaining its mutual structure. Mutual ownership means SBS Bank is 100% owned by its Members (customers) and is uniquely positioned to provide benefits to its Members.
Scoop
9 hours ago
- Scoop
SBS Group Delivers Solid Full-year Result, Supporting More Kiwis Into Homes
Press Release – SBS Bank The SBS Group, which includes SBS Bank, SBS Insurance, SBS Wealth and Finance Now, reported a pre-tax Operating Surplus of $43.1 million, up 2.1% on the prior year. Both lending and deposit growth indicated strong underlying performance. The SBS Group has delivered a solid result for the year ending 31 March 2025, rearming its commitment to supporting its Members on their financial journeys – even in one of the toughest economic climates of the past two decades. Despite inflation, rising unemployment, and subdued GDP growth, SBS Bank remained focused on delivering value to its Members across New Zealand. 'This year has once again shown just how strong and resilient the SBS Group is,' said SBS Group Chief Executive Mark McLean, 'Even with the pressures of a challenging economic environment and wider market challenges, we stayed true to our purpose – helping Kiwis find a place to call home.' The SBS Group, which includes SBS Bank, SBS Insurance, SBS Wealth and Finance Now, reported a pre-tax Operating Surplus of $43.1 million, up 2.1% on the prior year. Both lending and deposit growth indicated strong underlying performance. 'Over the past year, we have maintained a strong focus on sustainable and responsible growth.' Mr McLean said, 'Strengthening our balance sheet has been a key priority, supported by continued growth in funding through both retail and wholesale channels. A highlight was our third successful NZDX-listed medium-term note issuance – an important milestone for a bank of our size.' SBS Bank's capital ratio remains strong at 16.4%, up 0.1% on the prior year and well above regulatory requirements (9%) reinforcing the bank's capacity to support ongoing growth and investment. Delivering for first home buyers and investors In a market where affordability remains a challenge, the SBS Group supported 1,479 first home buyers this year. 'Our market-leading FirstHome Combo helps first home buyers to be $156 better off each fortnight— a meaningful saving in today's climate and an increase year on year,' Mr McLean said. Total home lending rose 3.7% to $4.5 billion, a strong result for a bank of SBS Bank's size. For the third year-in-a-row, Canstar also named SBS Bank as the 'Bank of the Year for First Home Buyers'. As the OCR reduced, SBS Bank maintained market-leading term investment rates, resulting in a 3.5% increase in Member funding balances to $4.6 billion. During the year, SBS Bank welcomed more than 5,800 new Members, reinforcing the strength of its mutual model. Investing in the future SBS Bank is making progress on its digital transformation, with significant investment to future-proof systems, enhance service, and support innovation with a new home loan tool to simplify the home loan application process. SBS Bank confirms it has made the decision to close its Cromwell, Timaru and Hamilton Branches throughout June, and that the satellite Windsor branch will merge with the main Invercargill branch today (30th May). Utilisation of these branches in particular has reduced as consumer preferences and expectations continue to shift towards digital banking solutions, along with the use of intermediaries for home lending. The remaining 10 branches in the network will continue to play an important role in providing specialist advisory services to Members in those locations. Cybersecurity remains a top priority, with significant investment in secure systems, supported by a seven-day-a-week, New Zealand-based contact centre – helping Members stay safe from scams and fraud. SBS Bank Chairperson Joe O'Connell said the results reflect the commitment of the SBS Bank team to the bank's purpose, strategy and mutual values. I'm proud of our SBS Bank team across the country who have stayed focused on delivering great outcomes for Members despite a tough operating environment,' Mr O'Connell said. 'As a mutual bank, our priority is always our Members and ensuring the Group is in a strong position to help them through the challenges, and opportunities, in the year ahead.' Mr O'Connell said. 'As we look to 2026 and beyond, our strategy remains centred on sustainable growth, investing in innovation and continuing to deliver real value for our Members.' About SBS Bank Established in 1869, SBS Bank is a building society that has achieved bank registration while retaining its mutual structure. Mutual ownership means SBS Bank is 100% owned by its Members (customers) and is uniquely positioned to provide benefits to its Members.
