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Speaker 1: Labour is back to its old tricks ahead of the budget.

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Speaker 1: We've got the same message basically we got from a

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Speaker 1: barefoot jandle wearing chippy on day one of his post

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Speaker 1: summer break. More debt, borrow more and spend more, name

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Speaker 1: and issue. Pick a portfolio, any portfolio where Labor has

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Speaker 1: not criticized the government for cuts and promise to restore

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Speaker 1: spending to pre willis levels. The latest example, of course

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Speaker 1: is pay parity. But that's the latest in the long list.

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Speaker 1: In case they didn't get the memo. Kiwi's voted for

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Speaker 1: cuts at the last election. If we're doing our bit,

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Speaker 1: the government ought to do it's But that is the

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Speaker 1: politics of it. The economics have been up for debate recently.

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Speaker 1: Net core crown debt and this is not debatable, has

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Speaker 1: more than doubled on pre COVID to one hundred and

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Speaker 1: eighty two billion dollars or forty two point six percent

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Speaker 1: of GDP. Some of this is inflation, but much of

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Speaker 1: it is not. Spending has been baked in. Couple of

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Speaker 1: things to note, Yes, government debt is low compared to

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Speaker 1: other OECD countries, and that's what you hear labours say.

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Speaker 1: But the credit rating agencies are telling us to get

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Speaker 1: it down back to surplus, or you risk a credit downgrade,

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Speaker 1: and then you're borrowing costs you more. We're already spending

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Speaker 1: more financing debt than we do on defense, police, corrections,

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Speaker 1: justice and customs combined. And remember where the shaky aisles.

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Speaker 1: We've got huge exposure to trade. We need headroom to

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Speaker 1: borrow big if shite hits the fan, Ask any economist

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Speaker 1: or the person who runs your household, and they'll tell

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Speaker 1: you that borrowing for everyday spending is a bad idea.

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Speaker 1: And we're doing that year after year after year after year.

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Speaker 1: And if that's not enough to convince you. On debt,

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Speaker 1: here's the kicker, the real doozy private debt. You know,

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Speaker 1: our student loans and our mortgages one hundred and twenty

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Speaker 1: percent of GDP, higher than America, Spain, Germany, Ireland and

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Speaker 1: a bunch of other countries. The worst part, we owe

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Speaker 1: most of it to foreign banks. We can't afford more debt.

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Speaker 1: And yes, Nichola Willis is still spending more, but it's

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Speaker 1: less than labor the lesser of two evils. For more

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Speaker 1: from early edition with Ryan Bridge, listen live to news

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Speaker 1: talks it'd be from five am weekdays, or follow the

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Speaker 1: podcast on iHeartRadio