Watch: Luxon gives update on FamilyBoost as NZ faces new US tariffs
Prime Minister Christopher Luxon will give an update on the Family Boost tax credit scheme at his post-Cabinet press conference this afternoon.
Luxon will be joined by Finance Minister Nicola Willis, the architect of the scheme.
Both will likely speak to the latest tariffs on access to the United States announced by the Trump Administration over the weekend.
Last year, the Herald used data to show the Family Boost update was far lower than the Government had intended.
Prior to the changes being made, the Labour Party used written Parliamentary questions to show that just 249 families had claimed the full payment as of last April - short of the 21,000 the Government had modelled.
The Government changed the settings of the scheme, broadening its eligibility so more families could claim the tax credits and increasing the portion of early childhood education fees that could be claimed in a rebate.
On Friday NZT, the Trump Administration announced a 12.5% tariff on New Zealand’s exports to the US. The announcement was included in a list of 60 other economies that were being hit with tariffs over what the US has called inaction on rooting out forced labour in their supply chains.
New Zealand has said the reason behind the tariff is spurious as the Government has taken action against forced labour.
Luxon spoke about the tariffs during his Monday morning breakfast media round.
“There is no forced labour situation in New Zealand,” Luxon told Newstalk ZB’s Mike Hosking Breakfast - referring to US President Donald Trump’s rationale.
“We’ve made our case pretty strongly to the Americans. They’re not for turning. And frankly, we’ve grown our exports 4% in the US with the tariffs in the last year or so.”
The tariffs showed why other free trade agreements such as the India FTA were so important, he said.
The one thing New Zealand had going for it was around 33% of its trade - “the beef and kiwifruit stuff” - was not subject to tariffs.
“But it’s just insane … it has massive implications on the global economy. We’ve seen how this movie plays and it doesn’t end well," he said.
Take your Radio, Podcasts and Music with you
Get the iHeart App
Get more of the radio, music and podcasts you love with the FREE iHeart app. Scan the QR code to download now.
Download from the app stores
Stream unlimited music, thousands of radio stations and podcasts all in one app. iHeart is easy to use and all FREE
