Lange Govt economic policy envied in U.K.

Press, 24 February 1988, Page 6

Lange Govt economic policy envied in U.K.

By

PETER O’HARA

NZPA correspondent London British Ministers felt something akin to envy that the New Zealand Government had been able to implement its economic policies, said the Foreign Minister, Mr Marshall, yesterday. After meeting several British Cabinet Ministers, Mr Marshall told reporters there was “admiration” among them “for what New Zealand has been doing.” He said there were “expressions of surprise when I indicated the new tax regime.” “There was very

considerable interest in what we were proposing to do in both company tax and personal income “I think (Finance Minister) Roger Douglas would be interested to hear there was almost an envy from people I spoke to that any Government should be able to do what we have done.” Mr Marshall acknowledged the recent clash between Mr Douglas and the Prime Minister, Mr Lange, over taxation reform.

He said he had explained the “hiccup” during appointments yesterday — which included meetings with the Trade

and Industry Secretary, Lord Young, the Agriculture Minister, John MacGregor, and the junior Foreign Minister Lord Glenarthur. Mr Marshall said: “I went through the history of what happened in the last couple of months.” He outlined the “highlights of the package the Cabinet agreed on February 10” — when the Lange-Douglas compromise on tax changes was reached. “My impression has been that the rather public dispute about it was given more attention by the British press than the eventual package which the Cabinet agreed to.”