GST to rise, but property owners mostly left alone

I thought one of Nationals main flag flying policies was the urgent and the serious matter of redressing housing affordability in NZ. Since the average new home to build costs on average $250,000 , the new GST hike will effectively increase all materials and services as they will need to adjust for this. That means an increase of 2.5%, or approx. $6250. Is this how you bring down the cost of housing? Wait, you will need to buy some land to go with that though. With the current prices of land being similar to the build costs, might as well hit the x2 button, because the developers of the land will have to add their 2.5% margin. We now have a potential $12,000+ hike in the cost for the average Kiwi family trying to build their dream home virtually overnight. If there is an increase in the cost for a new homes, usually this has a flow on effect to existing housing stock. So will our tax cuts for the average NZ family trying to build or buy their home compensate adequately for this Mr Key? Is this how to tackle the affordability of housing? Moreover, closing the discrepancy of the costs of living between here and across the ditch or further abroard?

What relief is Key promising for middle income earners who don't own property and don't have a family? A single person cannot get Working for Families and won't get a cut in income tax so they are effectively penalised under this scheme with higher prices on everything they buy. Nats are the party of the rich, then throw a few crumbs to the poor. Key was know as the "smiling assassin" from his Wall St. banker days - same routine here.

I'm on a benefit (gross pay is less than 20k p/yr). The last tax cuts were offset with the benefit - we didn't get a cent extra in our pocket. I'm an invalid and have never had an increase which is equal or more than the cost of a bottle of milk.
GST will go up which will mean rises not only in the cost of living, but also the rise of rent, petrol, public transport etc etc. My benefit will rise by $3.00 if I'm exceptionally lucky this time.
I'm not talking about bene's only however... all low - middle income earners will suffer from this. How many people actually sit on the $70k + p/yr. Not talking average wage like they usually do, I'm talking percentage per population. John Key might have kissed the young voters a**e at the last election but I think they have probably seen through his bulls**t now.
National's attitude is; the rich get richer, the rest can get stuffed. Shame is... we've still got nearly 2yrs left of this and by then the damage will be done.

Sounds like this is good news for the rich like politicians and bad news for the rest of NZ. Why the hell did NZ let the National party back into government I knew that with National in power they would do everything to help the rich and hurt the poor. The gap between the rich and poor in NZ is going to increase thanks to John Key and his government. The media and National party harped on and on about Labour not delivering Tax cuts and made the country hate Labour but Labour did so much more positive when there were in power to what National have done. The cost of food is high enough as it is we don't need our weekly grocery bills to go up a further 2.5%. National went on how they would out do Labour with their Tax cuts but all they did was reduce the rates on Kiwisaver and pretty much cancel those Tax cuts they promised before the Election. Next year is an election year and I think NZ should be voting Labour, Labour does need to find themselves the right leader but right now I think any leader of the Labour party has to be better than what is coming out of National.

At least this will encourage all the greedy migrants that took all our jobs from our young workforce and student part timers to move elsewhere...go to Aussie...better still go improve your own homeland...and stop moaning about our society!!! I want my job opportunities back now!!! It’s an absolute nightmare with all these people on working visas who hire there mates and give em all the hours…

This tax cut will put a burden on the low income workers because the rents are also expected to rise.This will just make the standard of living here New Zealand to decline.This will force most people in the labour force to go overseas to find jobs and I think this will become a drain to the production capacity of the economy.

John, go the whole hog. Raise GST to 25% but make raw food GST zero rated. AND eliminate PAYE etc. This removes probably 50% of the IRD staff and makes the "spenders" liable, and the earners the ability to create more jobs and the infrastructure for increasing further wealth that benefits all NZ'ers.

If it is a drop from 38% to 33% in the top bracket then it is not a 5% tax cut. It is only a tax cut on the part that is earned over $70,000. But regardless, he did say there will be cuts in all tax brackets.

What about those who don't quite qualify for family support but struggle to make ends meet All I see this doing is lowering the standard of living for the majority of New Zealanders who are in the average income bracket and are the back bone of New Zealand. As usual the Higher earners are the only ones to benefit from tax cuts.

I am 32, single with no children. I dont own any property and I am no were near earning enough money to be included in the $70,000 tax bracket. I am sick and tired of working my butt off and paying taxes for certain individuals to get "benefits". I am struggling just as much as the next person and Im not entitled to anything. Its about time the government started getting serious at who gets 'benefits'.... not paying for tyres, for the Harris gang's new car! (Article in the ChCh press a few months back.) They would probably find they dont need to increase the GST, if they seriously noted where all the money they "give away" ends up!