Delay described as 'Roger’s rout'

Press, 29 January 1988, Page 1

Delay described as 'Roger’s rout'

By

OLIVER RIDDELL,

in Wellington “Roger’s rout” was how the Opposition spokeswoman on finance, Miss Ruth Richardson, described the announcement and the Opposition was delighted at what it saw as the Government’s humiliation. The Acting Leader of the Opposition, Mr Don McKinnon, said that it was an amazing statement showing confusion, uncertainty and unpredictability at a time when the Government was trumpeting about how consistent it was. Labour’s caucus had routed Rogernomics and there were now clear divisions within the Cabinet about the merits of last December’s economic package. Messages from the Treasury now had to be accepted by Mr Douglas, Mr McKinnon said. These were that expenditure was blowing out and revenue was down, and that the Government

was having trouble with its accounts. Miss Richardson said that in a few months since the election, the absolute dominance and dictate of economic policy of Mr Douglas had gone. Mr Douglas only had to leave the country and the Cabinet, caucus and party knives were out and plunging, Miss Richardson said. The Opposition spokeswoman on employment, Mr Winston Peters, called for Mr Douglas to resign. He said the crisis in both unemployment and business confidence over the last three months had to be contrasted with the speeches Mr Douglas was giving overseas. Either Mr Douglas was deliberately deceiving his hosts in Britain or the Prime Minister’s announcement of a deferral of the economic package was mere flim-flam. The National member of > Parliament for Fertdalton. Mr

Philip Burdon, said the rescheduling of the Government’s economic package demonstrated the “utter confusion” of its entire economic policy. “The Prime Minister has climbed down dramatically from his December economic policy statement which was at the best an ill-considered and unthoughtthrough proposal, and at the worst an exercise in political theatrics to deceive people,” he said. The National Opposition has asked Mr Lange to be more specific on plans to remove tax concessions on life insurance and superannuation contributions. A telegram asking for clarification has been sent to Mr Lange by the Opposition spokesman on social welfare, Mr Venn Young. He asked whether the removal of the concession announced as part of the December 17 economic package had been reversed.

Further reports, page 3