Time to stop the corporate welfare

The Government says it doesn’t know if the millions it pours into corporate welfare via the Callaghan Innovation fund is helping or benefitting New Zealand.

Sounds like a bloody good reason to end it.

The benefit from millions of dollars of taxpayer-funded research subsidies may be heading straight offshore.

A boat building firm owned by Team Oracle’s founder, American billionaire Larry Ellison, drug giant Bayer, Nasdaq-listed Fiserv and global software firm SAP are all recent recipients of research and development grants from Callaghan Innovation, the government agency charged with administering the money.

But the Government says it has no idea whether any of its investment is actually benefiting New Zealand.?

Any company domiciled in New Zealand and spending at least $300,000 a year and at least 1.5 percent of its revenue on research and development in this country can claim up to $17.25 million in reimbursements over a three year period.

Callaghan Innovation has given out more than $140 million worth of grants over the last two years.

Why doesn’t Steve Joyce know what the benefit to New Zealand is?

Is he not doing his job properly?

I think we need to be knocking this corporate bludging on the head if there is no discernible benefit to NZ.

 

– Radio NZ

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