Is the next recession on its way? Government ministers have brushed aside reports of falling business and consumer confidence. They argue the economy is trucking ahead on a solid growth path.
Ominously, though, investors sniffing the breeze feel a chill in the air: the sharemarket’s top 50 index has slumped 7% in the last 10 days.
And the government’s own action in raising petrol taxes has been the trigger for consumers to pull back spending. The latest OneNews Colmar Brunton poll found 57% of respondents had either adjusted their spending patterns or reduced their driving.
People also spent less on essential items like groceries and electricity. Spending on non-essential items dropped by 44%. Continue reading “Businesses are losing confidence – here’s hoping world leaders don’t lose theirs”
Motorists will be bracing themselves for another round of petrol price increases—not only because the government is increasing petrol tax by 3.5c a litre on October 1, but also because international crude prices are rising and the NZ dollar has depreciated around 13% since March.
Prices for West Texas and Brent crude have risen between 35% and 40% since this time last year. At the pump the national fuel price last month for 91 octane was $2.32 a litre, with prices of up to $2.50 in some regions.
Stations in Wellington and many parts of the South Island, and other areas which use the so-called “national price”, are now charging $2.409 a litre for regular petrol, the latest in a series of record highs seen in recent weeks.
Diesel prices, at $1.809, are at the highest level in just over a decade.
Continue reading “Motorists brace for higher fuel taxes while the govt paves the way for more cycling”