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Simon Arcus: Business Central CEO on what Wellington needs from the Government's budget · Early Edition with Ryan Bridge

• 0:00
  Speaker 1: So let's talk more about the budget now. So it
• 0:01
  Speaker 1: will be your highest spending of any government in history.
• 0:04
  Speaker 1: Borrowing is still high. Minister's going to have to make cuts.
• 0:07
  Speaker 1: We don't quite know. We're from Business Central CEO Simon
• 0:10
  Speaker 1: Arcis with me this morning. Simon, good morning, good morning. Right,
• 0:14
  Speaker 1: very well, now you're in Wellington. Where would you where
• 0:16
  Speaker 1: would you cut? Where's the fat? Look?
• 0:20
  Speaker 2: There isn't much fan and I think that's the type
• 0:21
  Speaker 2: wrote the government's walking. How do you how do you
• 0:24
  Speaker 2: balance some first all restraints, you know, keep not spending
• 0:28
  Speaker 2: with the reality of needing to boost the economy. It's
• 0:30
  Speaker 2: a really difficult question. And as you say, a lot
• 0:33
  Speaker 2: of the budgets big headline items are known, so I'm
• 0:38
  Speaker 2: not quite sure. Wellington certainly has had public sector cuts
• 0:41
  Speaker 2: of course, and suffered as a consequence of that. So
• 0:44
  Speaker 2: let's hope there's not too much more let space could
• 0:47
  Speaker 2: well be there.
• 0:48
  Speaker 1: Yeah, it's interesting. It's an interesting place for Wellington to be,
• 0:51
  Speaker 1: right because the rest of the country is going, ah,
• 0:53
  Speaker 1: just cut them, slash them, burn them, and you and
• 0:56
  Speaker 1: the businesses in Wellington are actually the ones that feel
• 0:59
  Speaker 1: that right.
• 1:00
  Speaker 2: Well, absolutely, what's really interesting about the direct government spending
• 1:04
  Speaker 2: into Wellington accounts for about twelve percent of the GDP
• 1:08
  Speaker 2: and while that doesn't sound like a huge amount, that's
• 1:09
  Speaker 2: before you've got all the extra professional services, support services.
• 1:14
  Speaker 2: Where a civil servant goes and buys a sandwich at once.
• 1:18
  Speaker 2: It's a big impact. And if you compared to the
• 1:20
  Speaker 2: rest of the country, that's only about four percent, So
• 1:23
  Speaker 2: it's a big It is a big chunk of our
• 1:25
  Speaker 2: economy and I think that's what's really made it tough
• 1:28
  Speaker 2: in recent times.
• 1:30
  Speaker 1: Infrastructure Simon. We're hearing about plans, we're hearing about cash.
• 1:33
  Speaker 1: Has anyone actually seen any money yet?
• 1:36
  Speaker 2: One of the things that is a concern is infrastructure
• 1:39
  Speaker 2: certainly is high on the agenda, but we need to
• 1:42
  Speaker 2: see that stuff starting. We need to see the green
• 1:44
  Speaker 2: throw button with a lot of that and that's a
• 1:47
  Speaker 2: big thing for Wellington. And of course the other thing
• 1:49
  Speaker 2: that is a little bit of a bright spot is
• 1:53
  Speaker 2: probably the film spend and credive industry spend that down
• 1:57
  Speaker 2: here will have an impact too.
• 1:58
  Speaker 1: Hey what a businesses think if if she was to
• 2:01
  Speaker 1: come out on Thursday Nichola Willison say, I want you
• 2:04
  Speaker 1: to increase your employee. Can we save a contribution. What
• 2:08
  Speaker 1: do you reckon businesses would say.
• 2:11
  Speaker 2: Well, I think I think this is really interesting in
• 2:13
  Speaker 2: a lot of a government. If you think about fiscal
• 2:15
  Speaker 2: restraint but wanting to boost the economy. If you think
• 2:17
  Speaker 2: about questions around key we saver, you say we business
• 2:21
  Speaker 2: largely would the trajectory, but the john individual businesses or
• 2:28
  Speaker 2: the impact on businesses as the as the days and
• 2:31
  Speaker 2: weeks go on has been really tough. I think I
• 2:35
  Speaker 2: think employer contribution to kV savers something we got to
• 2:37
  Speaker 2: look at, and we've got to look at how to
• 2:40
  Speaker 2: make sure that in the future people will be more
• 2:44
  Speaker 2: secure in their retirement and less dependent on the government.
• 2:47
  Speaker 1: Simon, appreciate your time this morning. Thank you very much.
• 2:49
  Speaker 1: Simon Arkis who is with us from Wellington Business Central CEO.
• 2:54
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• 2:57
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• 3:00
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