Kiwi businesses will be worse off under Labour's policy to cut Investment Boost, National's Finance spokesperson Nicola Willis says.
"Labour is taking $6.6 billion of support for Kiwi businesses and shrinking it to $1.56 billion. That is more than $5 billion ripped away from small businesses and pocketed to help fill their $18.2 billion funding gap," Ms Willis says.
"For every four dollars National is putting behind business owners buying new machinery and equipment, Labour would leave less than one.
"Scrapping National's $6.6 billion Investment Boost to fund a $1.56 billion fig leaf means business owners lose the incentive to invest in genuinely transformative, productivity-enhancing equipment. It is nothing more than a $5 billion tax grab dressed up as a business policy.
"This is a huge blow for small business owners. While they might be able to purchase a laptop or two under Labour's policy, they will find it a lot harder to buy a ute, commercial coffee machine or manufacturing equipment that could genuinely transform their business without Investment Boost.
"That's before we consider the impact of Labour's proposed capital gains tax that would hit small businesses across New Zealand.
"Every business needs somewhere to operate. Whether it's a family-owned dairy, a local manufacturer or a trades business, many own or rely on commercial property. Labour's capital gains tax would add another cost to them.
"The contrast is clear. National is reducing the cost of doing business and giving employers confidence to invest and hire. Labour is taking away the incentives for businesses to grow and proposing new taxes on them.
"There's more work to do, but National's plan to fix the basics and build the future is working. The economy is growing, business and consumer confidence is rising, job ads are increasing and exports are booming. Labour's economic agenda would put all of that at risk.
"Kiwi business owners have long memories. They haven't forgotten six years of economic sabotage that drove interest rates through the roof and saw inflation spike to a 32-year high."
