Armstrong on Kiwi Saver

Thank God we are starting to see some decent analysis about the long term implications of Kiwi Saver. I’m going to post more next week on this topic – including a list of reasons why “the right” should support Kiwi Saver.

Last night we had a first class speech by the person who privatised Chile’s pension scheme, and has consulted for around 30 other countries to do the same. And let me tell you that what struck me was how what Cullen has done is entirely consistent with privatising superannuation – making it compulsory for employers but voluntary for employees and incentives etc.

John Armstrong covers these issues in his column today. His final paragraph is very apt:

The more successful KiwiSaver becomes, the greater the risk that it may ultimately end up dissolving the very state-funded super scheme which Cullen has worked so hard to preserve.