Following a ‘pledge’ by Grant Robertson that tax-wise Labour “we will only implement the changes that Labour is campaigning on” next term – see Labour’s underwhelming tax policy – Green leader James Shaw sort of talked tough, saying Greens would consider not forming a coalition if they didn’t get what they wanted.
Shaw said that a wealth tax would be ‘a top priority’ when asked if it would be a bottom line.
Stuff: Labour rules out Green Party’s wealth tax in any Government it forms
The Labour Party has ruled out implementing the Green Party’s wealth tax.
Finance Minister Grant Robertson said no new taxes or other changes to income tax would be introduced in the term.
He was asked if that included proposals from possible coalition partners, such as the Green Party who are campaigning on a substantial wealth tax on millionaires.
“This is Labour’s tax policy. We are committing to not implementing anything other than this if we are in Government,” Robertson said.
He was asked again if this meant he was ruling out giving some ground to the Green Party in possible coalition talks.
“What I’m saying is that this is the policy that Labour is campaigning on, and we will only implement the changes that Labour is campaigning on,” Robertson said.
Polling consistently over 50% Labour can probably afford to talk as if they will be in a position to do what they like next term, which is nowhere near enough on tax, certainly not transformational or reforming.
But Greens are desperate for votes to get them over the threshold to keep them in Parliament, and need to move support from Labour to do that, so are trying something they have done little of before, talking tough.
ODT/NZH: Greens prepared to play hard ball on forming next Government
The Greens are prepared to forego a coalition or confidence and supply arrangement and sit on the crossbenches if post-election talks do not go their way.
Co-leader James Shaw made the comments on Thursday, saying the only post-election deal that was off the table completely was one which would give National power.
However, he said if the Greens held the balance of power it was “always a possibility” that it would walk away from negotiations with Labour if they could not get the gains they wanted.
If there was no coalition or confidence and supply agreement, that would force a minority Labour government to seek the Greens’ support for legislation on a case-by-case basis.
He wouldn’t say what the Greens’ bottom lines in those talks were, but said a wealth tax was a “top priority”.
First the Greens have to get enough votes to get back into Parliament. They also need to hope that Labour don’t get enough votes to have a one party majority (which would enable them to do as they please).
And they also have to learn to do tough negotiations, something they seem unfamiliar with. Within the Green Party they make decisions by consensus, which is quite a different skill to doing inter-party coalition negotiations.
Time will tell whether they get enough votes, and if the do whether they can walk the tough talk.
Shaw also made other indications of demands.
He would also be pushing for co-leader Marama Davidson to be a minister and suggested a Green MP hold the agriculture portfolio.
If Greens are in coalition then Davidson should be one of their ministers, bu this is a different approach to this term when they chose for Davidson to lead from outside Government.
I’d be very surprised if Labour gave Greens the agriculture portfolio.
Shaw said a new Labour-led government would need to be in partnership with the Greens for it to be truly transformational.
“I think, in the next Parliament if Labour and the Greens are able to form a government together, then you will see a truly progressive government for New Zealand.”
The Greens need to push this line to take votes from Labour, but it provides ammunition to opponents, who will say that their are risks with a Labour+Green government getting radical, but there’s been no sign of Labour going anywhere near radical. Instead they look very centrist conservative.
If the Greens were in a position to negotiate a post-election deal, Shaw said it would be up to the party’s members to give any deal the nod.
It makes tough negotiations difficult if the negotiators have to refer to party members to confirm and deals.
Shaw:
“If you look at the policies we have released so far … those give you an indication of where we want to be able to play a role in government.”
He went on to specifically name-check its wealth tax policy as well as its minimum income scheme, clean energy and its upcoming agriculture policy.
Asked if the Greens wealth tax plan was a “bottom line,” Shaw said that it was a “top priority”.
Labour have made it clear it is not an option at all for them.
Greens have some tough times ahead. First they have to make it back into Parliament. Then if they do they have to hope Labour don’t have a majority. They will also hope NZ First are out of the reckoning in coalition negotiations.
If they are in a position to negotiate they then have to see if tough talk can become tough negotiations.
One risk for the Greens with Shaw’s stance – if Labour get enough votes to give them a majority on their own they can do what they like with tax policy, and can hardly roll over on it for the Greens.
If this happens the Greens have virtually ruled themselves out of being included in Government if Labour offers that option.
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