Labour’s two face Kiwisaver messages

Here is what David Cunliffe said on 14 March 2014 about KiwiSaver:

“We will make KiwiSaver universal.

Every employee will contribute to their KiwiSaver account, not only ensuring financial security for New Zealanders in old age, but also making a significant boost to capital available for investment now. We have seen the success of this across the Tasman. I want to replicate that, and I know I am supported in that goal by many New Zealand businesses.”

Sounds promising…compulsory Kiwisaver (that’s what universal means), but will every employee have to contribute?  Well not exactly.

This is what David Parker said just a fortnight later on 28 March 2014:

“It [compulsion] would apply to all employees, exempting only the self-employed and those with hardship, although very high earners with sufficient savings will also be exempt, Labour’s finance spokesman David Parker says.” 

Interesting…the leader says one thing but the finance spokesman and deputy leader says something quite different.  Read more »

Cunliffe’s words come back to haunt him

David Cunliffe has been caught pants down over donations.

On top of that his hypocrisy over Sky City and his offshore run Kiwisaver have been exposed.

It makes a mockery of his posturing in parliament in 2008.

General Debate – 9 April 2008

Hon DAVID CUNLIFFE (Minister of Health) : Gee, the irony of that man impugning this Government on money issues will not be lost on Kiwis. He is the millionaire that Merrill built, the son of the “Hollow Man”, taking on the Government about transparency.

Why does he not tell that to the millionaire brokers of the Waitemata Trust or the millionaire sponsors of the Exclusive Brethren? We believe in one person, one vote; not one dollar, one vote. We do not believe that elections should be bankrolled by big business, which is why the Electoral Finance Act is in place.  Read more »

Cunliffe invests with big American firm, not Kiwi companies

At the same time that David Cunliffe is busily explaining his donation laundering scheme to an incredulous media, perhaps he’d like to explain why he doesn’t back Kiwi companies for his Kiwisaver account.

Cunliffe’s Kiwisaver is with Mercer Kiwisaver. Mercer is a wholly owned subsidiary of Mercer USA which is listed on the NYSE through its parent company Marsh and McLennan.

I wonder if the “optics” of Cunners using a big US firm to invest his taxpayer funded Kiwisaver subsidies (taking profits back to America etc) is damaging, especially when he could be using a NZ based Kiwisaver like Gareth Morgan, Milford, or Fisher Funds.

Maybe the man from Boston Consulting just can’t bear to not use his big American buddies…

It would be funny if Mercer Kiwisaver had investments in Skycity as well.

Oh wait while I just laugh.

2.75% of the Kiwisaver fund is SkyCity – number 7 in size.

Mercer Read more »

Errrr…is that a PIG in the picture?

The NZ Herald has an article about a new muslim friendly shariah product from Kiwibank:

Is that a piggy bank in an article talking about shariah  banking products?

Is that a piggy bank in an article talking about shariah banking products?

Oh dear, I wonder how long it will be before some outraged Muslim heads down to bank offering this product to chuck a brick through the window for their insult.

Has Shayne Currie got a bodyguard…he may soon be flatting with Salman Rushdie.

They’ve rioted in the streets of London for much less.  Read more »

Is Labour looking after their rich mates in Finance?

Labour likes to talk about National looking after their rich mates and the top end of town. David Cunliffe even used the term in his stand up on Tuesday after his rather testy and some say shouty caucus meeting.

But could it be that Labour are the ones looking after their rich mates in the finance industry…I mean if the accusation is good enough for Labour to use it should be good enough for anyone else to use. The Herald reports:

Labour would raise the age of eligibility for New Zealand Superannuation to 67, make KiwiSaver compulsory for employees and increase the KiwiSaver contribution rate if voted into power.

Deputy Labour leader David Parker told members of the superannuation industry his party was not afraid to tackle the age of eligibility issue despite it being politically challenging.

“I am willing to deal with the age of eligibility for superannuation. This is not populist politics.”  Read more »

Air New Zealand sell down returns $365 million, asset sales programme on track

The government is looking like realising their goals from asset sales with the return from Air New Zealand bringing in $365 million.

The Government has completed the sale of 20 per cent of Air New Zealand, selling just over 221 million shares at $1.65, Finance Minister Bill English and State Owned Enterprises Minister Tony Ryall say.

“The sell down of shares has returned $365 million, which will now be allocated to the Future Investment Fund so we can keep building new assets like schools and hospitals while controlling Government debt,” Mr English says.

“This brings the total share offer programme proceeds to almost $4 billion after three partial sales.   Read more »

The Huddle at 1740


I am on Larry Williams’ show, The Huddle, at 1740, with Josie Pagani…I wonder of she will join the rest of the left wing in excusing Len Brown’s actions?

Our topics are:

Possibly the news regarding Team New Zealand funding announcement.

Len Brown summary – really a countdown to him actually saying something of substance in relation to his affair and what he intends to do in terms of trying to a: wear it and put up with it over the next three years, b: fall on his sword and resign or c: what for the outcome of the inquiry into his conduct while at work. Either way it’s now become a waiting gameRead more »

The Huddle


I was on Larry Williams’ show, The Huddle, last night. I was on with Josie Pagani again…

Our topics were:

Rudd vs Abbott – when two nasty middle aged white men get nasty at each other. They’re both deeply odd. Rudd like all socialists likes to cheat and did so at the first debate. The media say that there was no clear winner from the debate.

Then there’s tinkering with Kiwi Saver for first home buyers…which is being dressed up by National as some sort of plan for first home buyers. It sure won’t make homes more affordable (which is a stupid concept anyway)  or providing more supply for the growing demand in Auckland. But it hasn’t stopped Mr Mid-life Crisis Peter Dunne from changing his mind on something yet again. He is now demanding that Kiwisaver be solely used for reitrement. Dopey Old Dunne obviously cant remember he supported Kiwisaver back in the day with the first home buyers component.

And last but not least the silly kiwis still being ripped off onlineRead more »

The Huddle at 1740


I am on Larry Williams’ show, The Huddle, tonight. I will be on with Josie Pagani again, hopefully I’ll be able to say something this time.

Our topics are likely to be:

Rudd vs Abbott – when two nasty middle aged white men get nasty at each other. They’re both deeply odd. Rudd like all socialists likes to cheat and did so at the first debate. The media say that there was no clear winner from the debate.   Read more »

National’s First Home Buyers policy

Farrar blogs the National Party press release at NBR and pretends he wrote it.  At least the NBR editor indicated what was added.

The key changes are:

  • Price caps for the KiwiSaver First Home Deposit Subsidy increases from $400,000 to $485,000 in Auckland, $300,000 to $400,000 in Christchurch, and some other increases
  • The income cap for a couple to access the KFHDS increases from $100,000 to $120,000

The Government expects the number of first home buyers receiving the subsidy will go from 4,700 to 10,000 a year and the number of Welcome Home Loans from 845 to 2,500 – so a doubling and trebling respectively.

The total cost of the package is $64 million over four years.

[There is also a new 10% deposit requirement to qualify for a KiwiSaver or to get a Welcome Home Loan. The 10% includes funds people can access through KiwiSaver. Previously there has been a no-deposit option, if a house is valued at $200,000 or less - Editor.]

There is a table showing for each area what the price cap is as a percentage of the mean sale price. Major areas are: