29 August 2005
Media Statement

More plaudits from abroad for Kiwisaver

The Economist this week says New Zealand is leading the way in superannuation policy through the KiwiSaver scheme and that Britain may follow New Zealand’s lead.

Finance Minister Michael Cullen said the KiwiSaver features identified by The Economist for special mention were automatic enrolment with provision to opt out after three weeks, the contribution holidays, the ability to choose a fund manager and the choice of contributing at either 4 per cent or 8 per cent of wages.

“It says the scheme’s design reflects the latest trends in behavioural finance and could prove a politically alluring alternative to compulsion in Britain.

“These comments echo earlier praise from the British-based Pensions Policy
Institute and contrast with the recent editorial in The Guardian expressing bemusement at Don Brash’s inability to debate effectively with a woman.

“The Guardian said it was especially surprising given New Zealand’s strong history of gender equality that some there still think women are unsuited to the rough and tumble of political life and that it was even more of a surprise that this idea should come from the leader of New Zealand’s main opposition party in the run-up to next month’s general election

“The contrast could not be sharper. At the cutting edge of world thought or mired in the attitudes of the past,” Dr Cullen said.

ENDS

© Scoop Media