Report

Borrowing to save: retirement income policy after COVID-19

Publisher
COVID-19 Pandemics Superannuation Government expenditure New Zealand
Description

A clear choice has been made to defer paying the costs of the Government’s economic response to the Covid-19 crisis into the future, either by lower levels of public spending or higher levels of taxation. This choice may be correct, but given the inevitability of future crises, not to mention the costs of servicing higher levels of debt, it is prudent to consider if the country’s wider policy priorities should remain the same. Savings can be made by reducing existing low-value Government spending and looking for new opportunities to meet policy objectives more efficiently.

This report argues there is one area where evidence suggests significant savings could be made, with little impact on public policy objectives: retirement income policy concerning KiwiSaver, New Zealand Superannuation and the New Zealand Superannuation Fund.

Publication Details