The National Party is promising no new taxes if re-elected this November, but has not ruled out increasing existing taxes.<\/p>\n
The party had already ruled out a bank tax and on Sunday scrapped the idea of an accommodation levy on short-term rentals such as bed and breakfasts.<\/p>\n
It comes after Prime Minister Christopher Luxon spoke publicly a fortnight ago about the possibility of three new taxes under National – a bed tax, a bank tax, and a fuel excise increase.<\/p>\n
The announcement on Sunday ruled out the first two but was silent on the third, fuel excise.<\/p>\n
Finance spokesperson Nicola Willis said policies like a bed tax would only hurt those booking weekends away and the party would instead look at existing mechanisms to help councils cope with tourism costs.<\/p>\n
She said the party would continue to invest in front-line services and while National was committed to no additional taxes, she said the Labour Party had left the door open to introducing more than its proposed capital gains tax.<\/p>\n
Leader Christopher Luxon said taxes would be a “defining theme” of the election.<\/p>\n
“Our promise of no new taxes this election reflects our disciplined economic management, focused on growing the economy, creating jobs, lifting wages and keeping taxes low.<\/p>\n
“It’s part of National’s plan to fix the basics and build the future.”<\/p>\n
Speaking at the policy announcement and the launch of his own Botany campaign, Luxon said National were “committed to the problem” of high tourism costs, but a bed tax was not the solution.<\/p>\n
“We couldn’t find a way to do it through an accommodation levy, that would end up hurting everyday Kiwis who are just going away for a weekend in Auckland or Queenstown.”<\/p>\n
Luxon pointed the finger at Labour and “its mates”, which he said would see the introduction of up to nine new taxes.<\/p>\n
“We are not introducing a capital gains tax, we’re not introducing a wealth tax, an inheritance tax, a gift tax, a 45 percent increase to the income tax, a $5 billion tax on businesses, an increase in business tax rates, and the list goes on and on and on.<\/p>\n
“That is not happening,” he said.<\/p>\n
At Budget 2026 in May, Willis – as finance minister – announced a levy on banks which she said would gather about $200 million over for years.<\/p>\n
Willis said she had looked at what banks were currently being taxed and what the “measures” to change that were, but could not find “other measures” that would not result in “additional costs” for Kiwis.<\/p>\n
“My concern that there isn’t a mechanism that won’t end up being borne by everyday people on their mortgage or their bank fees – and I don’t want that.<\/p>\n
“I’m really concerned that Kiwis not face the cost of additional taxes, and while we looked at alternative mechanisms, none of them stacked up against the simple rule: no more costs for Kiwis,” she said.<\/p>\n
Asked if National meant no increases existing taxes, levies or fees, Willis did not rule it out.<\/p>\n
“We’re saying no new taxes.” she said.<\/p>\n
Luxon said the petrol tax had been a “feature of New Zealand’s system for decades” and his government had decided not to increase it in their first term.<\/p>\n
“We also need to acknowledge that is the way that we actually fund and invest in our roads as well. But this is about no new taxes, and I can’t be clearer, this is the fundamental choice of this election.<\/p>\n
“You’ve seen a Labour Party that wants to spend more, they want to tax more, and they want to borrow more, versus responsible economic management that actually grows an economy and improves affordability for all New Zealanders and stops Labour’s tax grab,” he said.<\/p>\n
Asked how the policy would be received by his coalition partners, Luxon said all three parties signed up to lowering taxes for working New Zealanders.<\/p>\n
“It was the first thing we did: first tax relief for New Zealanders in 14 years. All parties signed up for that.”<\/p>\n
Pushed again on if it the no new tax policy would be “solidified” in a potential coalition agreement, Luxon said it would be.<\/p>\n
In a statement, Labour’s campaign chair Kieran McAnulty said voting for National meant voting for more cuts.<\/p>\n
“If you’re ruling out revenue, you have to cut spending. So what are you going to cut?<\/p>\n
“More nurses? More hospital services? More front-line workers? More support for families?”<\/p>\n
McAnulty said New Zealanders had a right to know what “National is planning to take away from them”.<\/p>\n
“Putting everything on the chopping block is not responsible government,” he said.<\/p>\n