Saturday, December 22, 2012

Petrol Tax Increase

This letter was published in The New Zealand Herald on Friday, 21 December,  2012.

The increase in petrol tax and cancelling the reduction in Accident Compensation levies is an attack on small business and rural tourism.
Sir Owen Woodhouse, the father of the ACC scheme, is on record as saying that self employed and small businesses are paying 30% more in ACC levies than they need to. As employers and self employed we have seen our rates rise significantly over recent years and we were looking forward to some relief. The impact of high dollar is real.  In the Tourism and manufacturing sectors people feel this reduction is long overdue. To cancel it is short sighted.  
The increase in petrol tax will impact further. Even Audi drivers think twice about a visit to the Matakana wine country. We hear regularly anecdotal stories of people reducing activities and about the flow-on effect that this is having on the economy.Things can only get worse with the fuel tax increase.