Social Credit Promises To Raise Pensions

Press, Volume CVI, Issue 31208, 4 November 1966, Page 14

Social Credit Promises To Raise Pensions

Successive National and Labour governments had plunged New Zealand into so much overseas debt that the eating habits of the people had been affected, Mr J. Pounsford, Social Credit candidate for the Sydenham electorate, told a political meeting last night. Addressing 38 people at the St. Andrew’s Hall in Hoon Hay road, Mr Pounsford said that Government borrowing had landed most heavily on people in the lower incomes, so that workers had been forced to go to arbitration and pensioners to beg. Neither under National nor Labour governments could the people expect any change, he said. Mr Pounsford promised a new deal for pensioners, relief for ratepayers, incentives for farmers, and retirement security for Government superannuitants if Social Credit became the Government.

In answer to questions, he said his party favoured private radio stations, would review the system of payments to racing clubs from the T.A.8., sympathised with the Rhodesian Government, and would try to prevent the spread of communism in Asia.

He said his party would increase old age pensions by 15s a week at once and increase them further until they at least reached the basic wage.

Incentives to farmers would include no taxation on the first year’s return for increased production. Local authorities would be allowed to borrow from the Reserve Bank interest-free. At present some local bodies were spending most of their income to service loans; the Dunedin City Council spent 18s 9d of every £1 in servicing its loans, he said. The savings of Government superannuitants would be balanced against the rise in the cost of living so that the funds available at retirement would be comparable with costs.

Taxation on personal income would be reduced so that people would not have to “borrow tiieir way to prosperity.” Single men would pay no tax on their first £lO a week of income. Allowances for wives would be £4 a week and £2 for each dependent child.

Mr Pounsford said the party’s finance system was based on allowing credit equal to the amount of national production. “As our production goes, so will the flow of credit” he said. “It will be possible for debt to be squeezed out of circulation.”

Since 1955, he said, costs had risen as follows: meat and fish, 50 per cent; rent, 80 per cent; housing, 71.2 per cent; home ownership, 64 per cent; light and fuel, 25 per cent