Editorial: Public spending cuts to face more scrutiny

BY WARWICK RASMUSSEN - DEPUTY EDITOR
Last updated 12:00 11/03/2010

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OPINION: The real effects of the National Party's cutback on public spending are now being felt. In the Government's first year the convenient backdrop of the recession, global economic crisis – call it what you want – helped them push through and unwind a lot of work that the previous administration had put in place.

Prime Minister John Key and his ministers vowed to ease public spending and have spent the past 16 months doing just that.

In the middle of the crosshairs was ACC, which many saw as an outmoded, outdated and bloated organisation that needed a major overhaul. It was in need of a doctor – and it got one. ACC Minister Nick Smith announced a radical shake-up in the corporation, the biggest since its inception in the 1970s.

Motorcycle levies were among the first things that Dr Smith targeted, with mixed results. Another area he focused on was the amount ACC spent on subsidies for physiotherapy visits. That move will certainly save money, but the upshot is business for physiotherapists is drying up and graduates are coming out of training to an ever-decreasing pool of jobs.

The other area ACC has clamped down on is its sensitive claims department and as figures in today's Manawatu Standard show, those claim numbers have almost completely evaporated, as they have in other regions. This has raised alarm bells with those in the health and advocacy sector who believe people who have suffered from all kinds of abuse are missing out on their rightful compensation.

And that is part of the fine balancing act that the National Party must work on. To target a group such as motorcyclists is one thing and may be unpopular with many, but making it harder for those who are vulnerable and with genuine need to gain access to funding and support is dangerous territory, even for a popular government.

With more cuts to health and education announced this week, the sales pitch for National is only going to get harder and it is going to take one heck of a honey-covered pill for the public to swallow the changes. With economic conditions easing this year, even more scrutiny will come on the Government as the lives of more and more people are directly affected by decisions made last year.It is with sadness that we mark the passing of Palmerston North woman Louise Bare in today's paper. Louise would have celebrated her 37th birthday today, but she didn't live to see the occasion, dying at the weekend after a long and, at times, public battle with brain cancer. She trialled a potential cancer vaccine and was always open with what she was dealing with. Her death, only days out from the 10th Relay For Life, will bring home the reality of cancer and the huge impact it can have on almost everyone in our community. Our condolences go out to Louise's family and friends.

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