Green Party want inflation to be high so that mortgages will cost more

The Green party wants people with mortgages to keep on paying higher interest rates.

Another interest rate cut will pour fuel on the housing price fire, the Greens say.

There’s speculation the Reserve Bank will again cut the official cash rate after a report released today showed inflation rose just 0.2 percent in the first quarter of this year.

In March the bank cut the OCR to a record low 2.25 percent.

Its next review is on April 28.

The Greens say the consumer price index hides the way the housing crisis is hitting peoples’ pockets.

And they want the hurt to continue by keeping interest rates higher than they need to be.

“Lower oil prices mean the CPI is hiding the fact the cost of housing, especially rental housing in Auckland, is rising much faster than wages and other prices,” said finance spokeswoman Julie Anne Genter.

“Low inflation makes it more likely the Reserve Bank will cut the OCR again soon, which could just pour more fuel on the housing crisis fire.”

Ask homeowners whether they want to pay higher interest rates.

But Finance Minister Bill English says that overall, people are reaping benefits.

“Low inflation is helping households get ahead, with wages on average continuing to rise faster than the cost of living,” he said.

“We are in the unusual situation of having solid economic growth, more jobs and rising wages at the same time as very low interest rates and inflation.”

Good luck campaigning in next years election for higher interest rates.

– Newshub


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As much at home writing editorials as being the subject of them, Cam has won awards, including the Canon Media Award for his work on the Len Brown/Bevan Chuang story.  And when he’s not creating the news, he tends to be in it, with protagonists using the courts, media and social media to deliver financial as well as death threats.

They say that news is something that someone, somewhere, wants kept quiet.   Cam Slater doesn’t do quiet, and as a result he is a polarising, controversial but highly effective journalist that takes no prisoners.

He is fearless in his pursuit of a story.

Love him or loathe him.  But you can’t ignore him.

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