Election 2014

1 Nov 2011

Labour will have to borrow $16 billion, says English

7:46 am on 1 November 2011

The National Party says Labour will need to borrow several billion dollars in order to meet its election promises.

Its finance spokesperson, Bill English, says National is on track to get the Government's books back to surplus by 2014-15 and start repaying debt.

That, he says, is in contrast to Labour, which has a $16 billion hole in its plan.

But Labour's finance spokesperson, David Cunliffe, says that figure is nonsense and Labour can also return the country's books to surplus by 2014-15.

He says Labour will provide a full disclosure of its numbers in the near future.

Mr Cunliffe says his party would cover the costs of keeping the country's assets, rather than following National's plan to raise funds through partial asset sales.

He says initially there would be a debit, but in the long term that would be covered by revenue from a capital gains tax.