New Zealand PM Defends Targeted Cost-of-Living Support Amid Soaring Fuel Prices
New Zealand Prime Minister Christopher Luxon has defended his government's targeted cost-of-living support measures amid soaring fuel prices. He emphasized that while New Zealand cannot control global energy markets, it must help those most affected by the rising costs.
Luxon pointed out that the conflict in West Asia is driving up fuel costs, impacting households and businesses. However, he warned against broad spending that could increase inflation and debt.
To address the issue, the New Zealand government has announced a temporary boost to the in-work tax credit, providing approximately 143,000 low- and middle-income families with an extra $50 per week from next month. This support will last up to one year or until fuel prices ease.
The government has also introduced additional measures to help alleviate cost pressures on specific groups, including super annuitants, families, students, and beneficiaries.