Prime Minister John Key stuck closely to the programme outlined during the election campaign in the speech from the Throne this morning which outlined the measures his Government would pursue in the next three years.
The speech was read in Parliament's legislative council chamber by Governor General Anand Satyanand.
"The driving goal of the new Government will be to grow the New Zealand economy in order to deliver greater prosperity, security and opportunities to all New Zealanders.
"Only a strong economy will guarantee financial security for families, well paid jobs in New Zealand for our young people and larger superannuation payments for all older people.
"This afternoon, the Government will table a Bill to reduce personal taxes from April 1, 2009 with the intention to pass the new tax legislation by Christmas," he said.
The Government believed the tax reduction would equip New Zealanders with some much needed extra cash in tough economic times.
By April 1, 2011, around 80% of New Zealand taxpayers would end up paying no more than 20c in tax for every additional dollar they earned.
The programme of tax reduction was a central part of the economic plan for the Government because it believed in encouraging New Zealanders to get ahead under their own steam.
It viewed personal tax reductions as an essential step in ensuring that could happen.
The Government would urgently set about tackling the infrastructure blockages evident in New Zealand's economy.
That would involve a stepped-up programme of Crown infrastructure with many overdue projects brought forward.
Other measures designed to help the economy during the worst financial crisis since the Great Depression of the 1930s would be an improvement and expansion of school property and the accelerated roll-out of an ultra-fast broadband network across New Zealand.
A two-stage reform of the Resource Management Act would also be undertaken.
"My Government is acutely aware that despite the measures I have just outlined, the enormity of the economic challenges that New Zealand faces today are such that unemployment is forecast to rise in the months ahead.
"It believes that the economic crisis will not be averted by cutting government spending and social support but rather by backing the everyday New Zealanders who, through their hard work and resilience, will power New Zealand through this recession."
