Brash challenges Key to get tougher on spending

Act Leader Don Brash. Photo / Janna Dixon

Act leader Don Brash is challenging Prime Minister John Key to use up some of his considerable political capital to make some potentially unpopular decisions to curb Government spending.

Dr Brash released an open "Dear John" letter yesterday, saying he resigned from the National Party with "a very heavy heart" and he felt compelled to seek the Act Party leadership "after watching with mounting dismay the performance of your Government".

"You have spent the last three years building up probably the greatest reserves of prime ministerial popularity in New Zealand history. What's the point of cultivating such influence unless you plan to use it to help our country?

"And if you won't use it now, in this time of crisis, when will you?"

A spokesperson for Mr Key said the Prime Minister had no comment on the letter.

Dr Brash raised a number of Government policies that could be cut back in the letter, including interest-free student loans, Working for Families, KiwiSaver subsidies, and subsidised doctors' visits.

He also expressed his disappointment for having his 2025 Taskforce recommendations dismissed as too extreme.

"I've asked several times if we could meet and discuss our two [Taskforce] reports. Each time you've declined to meet me.

"You made great play of your ambition for New Zealand, and your determination to close the transtasman wage gap ... yet you have done almost nothing to fulfil that ambition, and now appear to have given up on that goal.

"I have not."

Dr Brash repeated his support for youth wages and increasing the age of superannuation eligibility, and his opposition to the Emissions Trading Scheme and the Government's race-relations record.

"Why are you running New Zealand for our opponents?

"And so John, I'm forced to agree with those who say you are not running the country for the benefit of all New Zealanders, but for the former Labour and Green voters who crossed over to you in 2008 for, effectively, a three-year trial.

"So many people hold you in high esteem. Surely you should easily be able to convince them of the urgent need for responsible economic management. After all, every New Zealand household is having to tighten its belt at the moment.

"And so, with deep regret, I felt I had no alternative than to resign my membership of the National Party."