Growth tick for National, Act

National and Act are the parties of growth, says Business New Zealand.

Both parties got a big tick in a Business New Zealand analysis of economic growth policies, earning a positive rating in 20 out of 21 growth areas (see graphic).

But Labour - likely to lead the next Government after Saturday's election - rated as growth-friendly in only nine out of the 21 areas of concern to businesses.

The Green Party was last, seen as favourable to growth in just three of the 21 areas. New Zealand First got 11 ticks, the Alliance six and United Future 17.

Business New Zealand's analysis involved comparing party policies with the views expressed in a recent survey of its members.

The organisation surveyed 260 businesses about what they would like to see done to encourage growth.

Then it asked the parties what they would do about the various issues raised in the survey, from lowering company tax to reducing business compliance costs.

The exercise is part of the organisation's effort to highlight economic growth as the priority for New Zealand on the basis that richer countries can afford first-world social services.

The organisation's message has been simple. Rich countries get the social and environmental outcomes Kiwis expect, and poorer countries - New Zealand is fast becoming one - will miss out.

In December, Business New Zealand published an "economic scorecard" of 20 goals to get back into the top half of the OECD.

Business NZ has attempted to be apolitical in its analysis, rating policies only and not the parties.

Chief executive Simon Carlaw said the pre-election conference last week, where political parties presented their growth strategies, had been instructive.

"As it turned out, the conference was timely in counteracting the deafening silence in the election campaign so far on the subject of economic growth," he said.

National finance spokesman David Carter complained at the conference about the lack of opportunity during the election campaign to debate economic issues, and the lack of media focus on him.

Finance Minister Michael Cullen called the silence on economic issues "eerie".

Carlaw said that, in hindsight, it was easy to see why.

Economic indicators had until recently been good, and there was strategic value for some parties in keeping the economy off voters' radar screens.

"The fact that the indicators are now turning downwards will not impinge on most people's consciousness for a few months yet," Carlaw said.

Growth had not been showcased as the overriding issue businesses wanted it to be.

But businesses were well aware of the case for growth.

That was clearly illustrated by the fact that of the 58 questions Business NZ asked its members in the survey, the one that drew the largest response was: "Do you agree that economic growth is a precursor for New Zealand's social wellbeing and effective environmental management?"

Ninety-seven per cent of the companies surveyed said yes.

Most of the parties felt the same. The only party that answered no was the Greens.

Carlaw said although all other parties agreed growth was critical, some party responses to some of the other questions in the survey seemed at odds with that position.

Some of the election campaign positions since then had also been at variance with this focus on growth.

For instance, the Greens had said they would tax enterprise less, but their response also said they would promote carbon, resource use, waste and pollution taxes.

"It would certainly be difficult to achieve a lower tax burden on most enterprise in the light of all the extra add-ons," Carlaw said.

National also came under some fire from Carlaw over the contentious Health and Safety in Employment Amendment Bill.

The party did not oppose defining stress and fatigue as workplace hazards.

Instead, National wants a better definition of the term.

National's answer to the health and safety question prevented it gaining a 100 per cent pass mark in Business New Zealand's analysis.

Act failed to score in all 21 areas when it fell down in a question on whether it supported improved school outcomes so all students leaving had at least level 1 of the New Zealand Certificate of Educational Achievement.

Business New Zealand said although Act replied positively to the question, it had possibly contradicted itself on the campaign trail.

The analysis also showed New Zealand First did not appear to have a complete economic growth agenda.

In several areas the party had not yet determined policy.

Carlaw said New Zealand businesses wanted all political parties to passionately and unequivocally promote economic growth - and tell New Zealanders why.

"All the key political issues are important, but they're all underpinned by our capacity to grow the economic cake," he said.

"In the absence of growth, party platforms simply become arguments about how best to ration our dwindling ability to pay."

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