NEWSLETTER: Key Notes No. 14

20 Comments
11 July 2007
NEWSLETTER: Key Notes No. 14

North American Trip

In the last week of June I had a very useful trip to North America with National's Trade and Foreign Affairs spokesmen, Tim Groser and Murray McCully.

We met a number of senior officials in the United States and Canadian governments, including John Negroponte, the US Deputy Secretary of State, and Stephen Harper, the Canadian Prime Minister.

Our meetings were very warm. We wanted to build the kind of relationships that will be useful should National be in government next year.

One of the issues we raised consistently in Washington DC was our desire to seek a free trade agreement (FTA) with the US. Australia already has an FTA and we are concerned that, because of this, it is a more attractive investment destination than New Zealand. We stressed that Americans and Kiwis share many common values, and an FTA would help develop that relationship further.

Watch my video from Washington, DC, here and from Canada here.

Turbo-charging charities

Last week I spent a bit of time closer to home. I visited several community groups in West Auckland with Paula Bennett MP, our Community Programmes spokeswoman.

We went to the Friendship Centre Trust in Glen Eden, which runs an emergency shelter for women and children, and the Genesis Training Centre, which offers youth training to 16-19 year olds. We also visited Man Alive in Henderson, an organisation that helps men and boys confront problems in their lives.

I continue to be blown away by the energy, enthusiasm and innovation that our community groups have, the help they quietly provide to struggling New Zealanders, and the huge amount of hard work their volunteers put in.

That's why National wants to turbo-charge community groups. When Kiwis help each other out, they strengthen our communities so much more than strategies and initiatives dictated from Wellington.

Higher for longer

I've heard from a lot of people who are deeply concerned about rising interest rates. Many young families are really hurting as their mortgage payments get bumped up.

The Reserve Bank has repeatedly warned Labour that its big spending plans are putting pressure on interest rates. Because of Labour, interest rates and the dollar will stay higher for longer. Young families, householders and exporters will pay the price – and there's no tax relief in sight.

Budget papers released last week by Treasury show that not only is Labour unwilling to deliver tax cuts, it's counting on tax to rise through bracket creep to fund more of its runaway spending.

It's rich for Michael Cullen to claim that hard-working Kiwis don't deserve tax cuts because they'll just spend them, when, all the while, he's busy spending up big and putting more and more pressure on mortgage rates.

Labour keeps trying to say that the economic climate is someone else's problem, but the Treasury papers lay a good portion of the blame back in its lap.

Booted out of the House

I've been replaced this week by my Youth MP, Sam Jackson, from Massey High School.

Every few years we hold a Youth Parliament where each MP nominates a young person to take their seat in the House for a few days and debate the issues that concern them. It gives Youth MPs a taste of how our democracy works, and gives MPs a chance to see our country through fresh eyes.

I chose Sam because he's passionate about multiculturalism, and the insights we can gain when we become familiar with other cultures. I just hope he didn't get too familiar with the culture of Parliament - I'll need my seat back next week!

To watch three of National's Youth MPs talking about their time in Parliament, click here.

John Key MP

Leader of the National Party

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#1 - Graham Mangham 2007-07-11 20:44 - (Reply)

Dear John Enjoy your news letters Thanks Something that has worried me for some time is the increases in our interest rates as a result of our rising inflation which is creating many problems not only for our exporters but for the young home owners and the lower income people. I would have considered if I had have been the Minister of Finance this simple fix. The main reason for our increased inflation is the fuel price. The cost of fuel has two tax components the first one which I dont know if it has a name and the second one which is the GST. The tax collection on the increased price of fuel has been with the two taxes HUGE. Wouldnt it have been very simple to reduce the amount of the first tax leaving GST at the normal rate. This wou;d have had a large effect on our inflation. Keep up the good work, this Labour Govt must go before the Country falls apart completely Thanks and Regards Graham Mangham

#2 - William Dawkins 2007-07-11 21:38 - (Reply)

It is all well and good trying to get close to the USA after such a long time out in the cold. The reality is that they are a spent empire, their problem is that they just don't realise it yet. Start looking to to emerging India and China for their combined population of 2.9 billion people makes the USA's 300 million look totally insignificant. They will want many, many things which we can offer once we can over come our domestic issues.

#3 - Ron 2007-07-11 22:10 - (Reply)

"I chose Sam because he's passionate about multiculturalism." *_Bad mistake_!* Just look what multiculturism has done for the UK. You get ghettoes of each different nationality trying to re-create their homeland in their "chosen" (one wonders why?) new country. They practice their own "culture" - like murdering their daughters if they want to intermarry. The culture of New Zealand is Kiwi-ism - that's what makes this country attractive. Don't alter it - protect it! Those who come here ought to be aspiring Kiwis - not missionaries.

#4 - Lorna Stansfield 2007-07-11 22:11 - (Reply)

As far as the Kiwi saver goes - what happens to the pensioners who have saved for their old age, dot they not deserve a bonus Of $1,000.oo - no instead they will have to pay more for all the goods due to the money put in by the employer? we have our pension taxed and also our saving which have been taxed when we earned the money now our savings get taxed again. So much for saving for our old age???

#5 - Phil Stanley 2007-07-11 22:12 - (Reply)

Start living in the real world,my small bussiness was broken into again this week,I paid $375 for this months power bill, a person died in CH CH hospital cause no one looked at him,I have spent 3 years developing a system to run every vehicle on ethanol fuel and it works but cant grt a dollar from the goverment and we spent 3.5 million on a terrorist to protect his rights! All this while u were in the States? Sharpen up John

#5.1 - Ron Palmer 2007-07-12 12:29 - (Reply)

Can support your comments 100% Phil, you are being a realist. Electricity costs increased by 44% so states Statistics NZ. Erronous figures repeated by dim witted MP's and others. Power prices have increased by almost 80% in most regions in NZ. This is can easily be proved. Regretfully, if John Keys continues to play consensus politics he will loose support from the silent majority New Zealanders. His alledged statement when in the U.S of supporting a nuclear free NZ forever is nothing but consensus politics. Hyde may be snuggling up to Labour is Keys snuggling up to the Greens.

#6 - Christina Tynan 2007-07-12 08:09 - (Reply)

I am interested to know what your position is on the Superannuation Scheme that Labour has intiated, Also will National meet the $1000.00 that goes into each persons account each year, and carry on with the same criteria that has been set up by Labour.

#7 - Stewart Germann 2007-07-12 09:10 - (Reply)

Dear John Your trip to Washington appears to have been very successful but the proof will come later. I find the Americans very friendly and only too willing to help. I was at the NZ Embassy last September on educational business and it's a great embassy as to representing NZ. Did you know that Bill and Hilary Clinton live over the back fence? I have just watched your video on DC and your visit to Capitol Hill. It's a great experience to go there and meet Senators (I saw about 4) so I am sure that you did your best for NZ. Your Canada video does not work as it jams after about 2 seconds (at least it did for me). Keep up the great work John. It is a pity that this is not election year as National and you would race into power and that is what this country needs - we are going downhill fast in many areas. The USD rate is ridiculous and will drive many exporters to the wall. And as for housing mortgage interest rates, they are far too high and we just about lead the world as to high rates (Zimbabwe excluded) I live in the Tamaki electorate and know Jim McElwain well who is a great supporter of yours. Alan Peachey is trying hard but probably needs to be a little more visible but at least he often writes something in the local Courier. All the best John and I hope that you keep polling high. Regards Stewart Germann

#8 - Stuart Goudie 2007-07-12 09:45 - (Reply)

Hi John-Don't like your comment quote "should National become Government next year"unquote, your attitude must be "WHEN National become Government"if not I'm out of here!!

#9 - Paul Reiher 2007-07-12 10:00 - (Reply)

Its not too far to the next elections and still I cannot see what makes National the logical choice for the next government. Why are there so many struggling NZ'ers and what will National do to make a difference for these struggling people? "...turbo-charge community groups"? What does this really mean for these hard working support groups?

#10 - b frost 2007-07-12 11:50 - (Reply)

interest rates-i think the reserve bank has the wrong approach-every time they raise interest rates it makes the NZ dollar more attractive for overseas institutions to buy thus sustaining the high exchange rate and making internal borrowing rates high. managed funds have not had a good track record in recent years and investment in real estate is seen as a good bet in the long term.it would be better to lower the interest rates.this would make it easier for young couples to get into a house and would have a flow on effect to the exchange rate which would help our exports.

#10.1 - Tony Dalby 2007-07-17 21:04 - (Reply)

I was thinking of a similar strategy when going onto John's page and am pleasantly surprised to see your suggestion! The weakening $US is something we can do nothing about. Raising domestic % rates is filling overseas investors pockets and raising the $NZ. The growth in Government spending must be a major factor in driving up inflation. Housing construction is being blamed for our woes.....I don't see many empty houses, so they must be needed!

#11 - Ray Pollock 2007-07-12 14:54 - (Reply)

Like Helen Clark who seeks a FTA with the USA you appear to be in the same camp. While National follows on the coat tails of the Labour Party and its anti American policies New Zealand will be out in the cold should any National administration gain the Treasury Benches. The only people hurting themselves are New Zealanders and this looks likely to continue. Good on the Aussies for being in the real world.

#12 - David Linton 2007-07-12 15:27 - (Reply)

Turbo-charging charities sounds great. What ever that means? Remember man does not survive on bread alone. Most of these organizations rely on paid and qualified employees. Money is required to run these enterprises. The volunteers you talk of are from a bygone era, best practice is archived through adequate funding and training. Or is it that National would like to see the poor supporting the poor.

#13 - Peter Burns 2007-07-12 21:19 - (Reply)

Rather than the poor helping the poor some charities at the coal face of social issues use experienced people who use practical solutions to avoid conflict and settle differences immediately by providing friendly advice for people because they care . They carry on funded or not .

#14 - John Wallace said:
2007-07-12 22:59 - (Reply)

Good luck with turbocharging charities, John. There's a huge blockage in the pipe which is supposed to send funding to people working with kids in the community. It reduces to a trickle where the funds go through CYFS. Those of us who work on the ground run on a shoestring while bureaucrats shift paper and email jokes to each other. We don't even ask for large amounts of money. Just a little to reimburse volunteers' expenses! The time spent accounting for these piddly amounts is probably more than CYFS spends accounting for it's shiploads. On "multi-culturalism" - it is a myth. Are you referring to the way we live in NZ? Perhaps the things we Kiwis do? Or are you meaning "multi-ethnic?" Culture is singular, not "multi." Culture is nothing to do with ethnicity. Culture is brushing your teeth, making your bed, saying please and thankyou, respecting your neighbour, treating others the way you want to be treated. If, on the other hand, you mean "the NZ way of life," why don't we include alcoholism, gambling, child abuse, obesity, etc., in our "culture?" These are surely part of NZ's way of life. I prefer the dictionary definition. One of Helen Clark's weak points is her obsession with diversity and so-called "multi-culturalism." She justifies homosexual civil unions, legalised prostitution, the Hero parade, and many other perverities the name of tolerance, diversity and multiculturalism. Funny thing is: Her tolerance stops at Christianity. Perhaps that is a little too diverse?

#14.1 - Nathan McCluskey 2007-07-13 13:07 - (Reply)

I'm not sure what John Wallace means. Helen Clark has welcomed the idea of a Christian grouping within the Labour Party (see One News report Oct. 29 2006). Perhaps he would like to join it so he can experience this religious tolerance first-hand.

#15 - BYRON ROSS 2007-07-15 17:18 - (Reply)

Hi, with regard to the higher interest rates which are hurting everyone and adding another hurdle to the first home buyer, which labour are keen to help? Tax relief would help but surely a rise in the GST rate on (*luxury*) goods electronics ect would curb spending? a capital gain tax on property that is not the main family dwelling could also slow down the speculation on property, taking the heat out of the market but not increasing the market value of property.

#16 - Gay 2007-07-17 07:27 - (Reply)

THANK THE SAINT OF SENSIBILITY WHO FINALLY PREVAILED UPON DRUGS AND NATURAL PRODUCTS BILL! MIND YOU A PASS THERE MAY HAVE BEEN THE OUSTER OF THE PRESENT GOVERNMENT. FANCY THINKING PEOPLE OF NZ WOULD LAY DOWN OVER AN ISSUE LIKE THAT. GAY

#17 - David Linton 2008-06-20 13:46 - (Reply)

Volunteers. Interesting way of discribing paid employees of NGOs. Tis the 21st Century John, not the Nineteenth Century.

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