Kiwis' finance fears may spark debt spiral

Action is needed now after new figures show a third of Kiwi families fear they will be unable to pay their debts in the next year, says Labour’s Finance spokesperson David Parker.

“Over a third of Kiwi families fear they won’t be able to pay their debts in the next year. Too many of our families are in danger of a debt spiral and the only winners are debt collectors, loan sharks and Australia where our workers go for much higher wages.

“National's old, low-wage economy means families can’t afford the basics and are relying on debt to survive. Kiwi families simply can’t make ends meet.

“Labour will create a modern economy that will lift the wages and savings of our families.  We will increase savings so our families have a debt buffer as well as support exporting businesses that will create high-paying jobs and opportunities for our young people.

“Families are worried about debt because they need higher wages. With no sign of a plan from the government, they are looking to Australia as the solution. Our families are struggling to survive and our Generation Y is turning into Generation OZ.”