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The Budget 2004
Budget 2004

The press releases and backgrounds issued to coincide with the delivery of the Budget on 27 May 2004

Releases issued pre-budget are available here.

The full Budget Speech text is available at the Treasury Web site.

Overviews
Working for families Supporting economic growth
Fairness and opportunity Strong, secure and sustainable New Zealand


If you have questions about how the Budget 2004 - Working for Families package can help you or your family, please phone 0800 774 004.

The Working for Families package means an average increase of around $100 a week in direct income assistance to families with children in the $25,000 to $45,000 band by 2007. Many families with higher earnings will also benefit.

Further information about Working for Families can be found here

The Budget 2004 Releases

At a glance Budget Releases
  • A large budget: $2.4 billion in new spending in 2004-05, rising to $3.8 billion by 2007-08.
  • A prudent budget: gross debt forecast to drop to 21.8 per cent of GDP by 2007-08; surpluses of above $5 billion forecast.
  • Economic outlook positive: unemployment and inflation to remain low; wages to increase steadily; growth to dip to 2.5 per cent in 2005-06 before rebounding back over 3 per cent.
  • Working for Families when fully in place will: benefit more than 300,000 families; deliver an average increase of around $100 a week in direct income assistance to families in the $25,000 to $45,000 bracket, substantially reduce child poverty.
  • Working for Families will: ensure people are better off from working; are able to provide their children with a decent start in life; receive their full entitlements.
  • Health funding to reach $9.92 billion next year.
  • Education: primary and secondary to get another $2 billion over four years; $365 million to pre-school education; $259 million to the tertiary sector.
  • $500 million over four years for Growth and Innovation.
  • Another 1054 state houses next year, upgrades to a further 856.
  • Another $2.1 billion to the New Zealand Superannuation Fund.
  • Strong law and order package, including funding for four new prisons.
  • $1 billion to restore departmental budgets to realistic levels so that they are able to meet their obligations, including a further increase to the Department of Child Youth and Family.

See previous budgets: 2003 | 2002