Budget 2007

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Budget 2007 Logo

Sustainable growth is the hallmark of Budget 2007. It takes significant further steps to transform our economy and provide higher living standards for all families

New Zealanders are wealthier, more secure, and enjoying greater opportunity than ever before, thanks to consistent economic growth, rising wages, and one of the lowest rates of unemployment in the world. This has been reflected in HSBC's description of New Zealand as "the Miracle Economy" in the past week.

The Labour-led government's eighth budget continues our progress in putting the country on a sustainable footing, with saving and investing as its centrepiece. This is critical to addressing the imbalances in the economy.

The budget increases our investment in families to give all New Zealanders a stake in society, through strong public services, safer communities, and the creation of a better country in which to live and work, where the benefits of economic growth are widely shared.

Our culture and values are celebrated, promoted, and protected, as we continue to strengthen our national identity and take pride in our reputation as a responsible and active member of the international community.

Budget 2007 is based on Labour's vision of continual economic transformation, grounded in sound fiscal measures, and based on smart, active policies to preserve what is fundamentally good and unique about New Zealand.

Budget Speech

Dr Cullen delivers his 8th budget: click here

 

To see Prime Minister Helen Clark introducing the Budget in a video, please click here.

BUDGET MEDIA STATEMENTS

Budget media statements are grouped under four main themes:

All pre-Budget announcements and speeches are located towards the bottom of this page, here.

 

SUSTAINABILITY

You can find out more about Budget 2007 and Sustainability at www.beehive.govt.nz/feature/budget+2007+sustainability.

A sustainable future for New Zealand

17 May 2007, Helen Clark media statement. Prime Minister

Sustainable growth is the hallmark of Budget 2007. It takes significant further steps to transform our economy and provide higher living standards for all families

Saving and investing to secure our future

17 May 2007, Michael Cullen media statement. Finance

Michael Cullen introduces Budget 2007, saying saving and investing are its centrepieces, helping drive the Labour-led government's strategy of putting the economy on a sustainable footing to meet the challenges of today and tomorrow

SAVING: Budget gives $40 a week to support saving

17 May 2007, Michael Cullen and Peter Dunne joint media statement. Finance; Revenue

It is vital New Zealanders save more so we can better deal with our economic and social challenges, which is why Budget 2007 significantly enhances KiwiSaver. A new system of tax credits and compulsory matching employer contributions will be introduced to encourage more saving and make it even easier for New Zealanders to save through KiwiSaver, the landmark work-based saving scheme

INVESTING: $3.4 billion for investment and innovation

17 May 2007, Michael Cullen and Peter Dunne joint media statement. Finance; Revenue

Budget 2007 delivers the most substantial changes to the business environment in twenty years, which will help develop a more innovative and dynamic economy, better able to compete in the global marketplace. The Labour-led government is investing $3.4 billion dollars over the next four years to accelerate the transformation of NZ into a more resilient and flexible economy

Investing in a bright, secure future for families

17 May 2008, Steve Maharey, lead minister for the Families Young and Old theme. Also speaking: Jim Anderton, David Benson-Pope, Parekura Horomia, Mark Burton, Ruth Dyson, Chris Carter

Steve Maharey and other ministers present the Government’s programme of investment in New Zealand Families Young and Old for 2007 and 2008. The Labour-led government has brought about a paradigm shift in social and economic policy producing major improvements in the lives of New Zealanders.

 

ECONOMIC TRANSFORMATION

You can find out more about Budget 2007 and economic transformation at www.beehive.govt.nz/feature/budget+2007+economic+transformation.

Investing in a sustainable future

17 May 2007, David Benson-Pope and David Parker joint media statement. Environment, Climate Change Issues

More than $800 million is being invested into making New Zealand more sustainable

Budget provides a boost for primary industries

17 May 2007, Jim Anderton media statement, Agriculture, Forestry and Fisheries

Today’s Budget will give New Zealand’s most important industries a boost to encourage investment and innovation

Towards a sustainable rail network

17 May 2007, Michael Cullen and Annette King joint media statement. Finance; Transport

Budget 2007 funds significant improvements to the Auckland and Wellington rail passenger networks, in a drive to put the economy on a sustainable footing

Funding certainty for transport improvements

17 May 2007, Michael Cullen and Annette King joint media statement. Finance; Transport

Budget 2007 paves the way for regions to raise funds through a regional fuel tax for specific transport capital projects

Driving land transport investment forward

17 May 2007, Annette King media statement. Transport

Budget 2007 capital injection to ensure the five-year State Highway Construction Plan is delivered in the event of any unanticipated cost increases

Investing in sustainable business

17 May 2007, David Benson-Pope media statement. Environment

Helping businesses make the most of the opportunities offered by sustainability is a focal point of funding for the package of sustainability initiatives

Helping Kiwi households towards sustainability

17 May 2007, David Benson-Pope media statement. Environment

A household sustainability programme will make it easier for Kiwi households to improve their lifestyles, keep NZ clean and green, and help fight climate change

Businesses to benefit from free statistical information

23 May 2007, Clayton Cosgrove media statement, Statistics

Businesses will soon gain free access to a wealth of valuable statistical information that will help them identify growth opportunities and make better decisions, thanks to funding from the 2007 Budget

Large investment in warmer, healthier homes

17 May 2007, David Parker and Jeanette Fitzsimons joint media statement. Energy, Climate Change Issues; Energy Efficiency

Budget 2007 provides $72.4 million over four years to help Kiwi families live in warmer, drier, healthier, more energy efficient homes

Tertiary sector primed for future

17 May 2007, Michael Cullen media statement. Tertiary Education

Budget 2007 helps the tertiary sector meet NZ's economic, environmental and social challenges

Encouraging a more skilled workforce

17 May 2007, Michael Cullen media statement. Tertiary Education

Budget 2007 invests in our training system for more of the right workers needed to increase productivity

Supporting students vital for tertiary education

17 May 2007, Michael Cullen media statement. Tertiary Education

Budget 2007 strengthens investment in student support by expanding allowances and scholarships for an extra 12,000 students - primarily from low-income backgrounds

Big research investment to transform economy

17 May 2007, Steve Maharey media statement. Research, Science and Technology

Improved business performance and sustainability are aims of a $73.7 million increase for research, science and technology over four years, along with $34.6 million in reallocated funding

Supporting firms tapping into offshore markets

17 May 2007, Phil Goff and Trevor Mallard joint media statement. Trade, Economic Development

Budget 2007 reinforces the Labour-led government’s commitment to help firms crack offshore markets,

Tougher action on property speculation

17 May 2007, Michael Cullen media statement. Finance

Budget 2007 provides a further $14.6 million over 3 years for Inland Revenue to ensure property speculators pay their fair share of tax

Fostering a culture of charitable giving

17 May 2007, Peter Dunne media statement, Revenue

Budget 2007 lays the foundation for a stronger culture of charitable giving in New Zealand.

 

FAMILIES, YOUNG AND OLD

You can find out more about Budget 2007 and families, young and old at www.beehive.govt.nz/feature/budget+2007+families+young+and+old.

Investing in a bright, secure future for families

17 May 2008, Steve Maharey, lead minister for the Families Young and Old theme. Also speaking: Jim Anderton, David Benson-Pope, Parekura Horomia, Mark Burton, Ruth Dyson, Chris Carter

Steve Maharey and other ministers present the Government’s programme of investment in New Zealand Families Young and Old for 2007 and 2008. The Labour-led government has brought about a paradigm shift in social and economic policy producing major improvements in the lives of New Zealanders.

Major investment in the health of New Zealanders

17 May 2007, Pete Hodgson media statement, Health

Budget 2007 provides a $750 million per annum boost to the health budget and funds major new investments in the health of New Zealanders of all ages including children and young people and families

Promoting healthy New Zealand families

17 May 2007, Pete Hodgson media statement, Health

Strengthening the health and well being of New Zealand families is a key focus of Budget 2007, which delivers on a wide range of programmes for children, parents and grandparents

New funding to step up fight against tobacco

24 May 2007 Damien O'Connor media statement, Associate Health

Budget 2007 boosts New Zealand's ongoing battle against the tobacco epidemic

Budget 07 recognises vital role of New Zealand's "backbone"

Damien O'Connor media statement, Rural Affairs

Budget 07 continues the Labour-led Government's ongoing commitment to rural New Zealand

Funding to expand drug buying

17 May 2007, Pete Hodgson and Peter Dunne joint media statement, Health and Associate Health

The government's drug-buying agency gets a permanent increase in funding in Budget 2007 - another $20 million a year for more medicines for both people in the community and those needing pharmaceutical treatments in hospital such as cancer patients

Improving health outcomes for Maori

17 May 2007, Mita Ririnui media statement, Associate Health

Budget 2007 underlines the Labour-led government's strategy to continue to invest in health to reduce inequalities and improve health outcomes for Maori

Focus on healthy active lifestyles

17 May 2007, Trevor Mallard media statement, Sport and Recreation

Budget 2007 provides for a further expansion of funding for sport and recreation to promote healthy active lifestyles

Extra teachers, schools further boost education

17 May 2007, Steve Maharey media statement, Education

The government is investing in hundreds of additional teachers, building new schools, and boosting funding for information technology, truancy and special education

Supporting healthy, confident young Kiwis

17 May 2007, Steve Maharey media statement, Education

The government is committed to giving children the best possible start in life through quality, affordable early childhood education and by promoting and encouraging healthy, active young lives

$1.4 million to encourage more aspiring principals

24 may 2007, Steve Maharey media statement, Education

Encouraging upcoming school leaders to become principals is the focus of a $1.4 million investment in a pilot for aspiring and potential school principals

Funding boost for kohanga reo

17 May 2007, Steve Maharey and Parekura Horomia joint media statement, Education, Associate Education

Budget 2007 will deliver kohanga reo increased funding of $13.9 million over four years

Strong families a top priority

17 May 2007, David Benson-Pope media statement, Social Development and Employment

Budget 2007 underlines the Labour-led government's commitment to strengthen the community sector, and provide greater support for young people at risk

Building strong and safe communities

17 May 2007, Mark Burton media statement, Justice

Every New Zealander should live in a safe and secure community where he or she can take part in all the activities a vibrant society offers.

Safeguarding whanau

17 May 2007, Parekura Horomia media statement, Associate Social Development and Employment

Budget 2007 invests $2 million in training and supporting those working to prevent violence in Maori whanau and communities

Older New Zealanders secure big gains

17 May 2007, Ruth Dyson media statement, Senior Citizens

Older New Zealanders will benefit greatly from a range of initiatives in this year’s budget

Support for successful housing programmes

17 May 2007, Chris Carter media statement, Housing

A $43.6 million package in Budget 2007 takes two highly successful housing programmes into new areas of the country, helping more New Zealand families

First steps towards shared equity scheme

17 May 2007, Chris Carter media statement, Housing

Budget 2007 sets aside $1.4 million for the design of a shared equity housing scheme, help more young New Zealanders own their own home

Extra funding to support Mâori wardens

17 May 2007, Parekura Horomia media statement. Maopri Affairs

Realising the potential of Mâori wardens to support their communities, especially Mâori youth, is the aim of a $2.5 million Budget 2007 investment.

 

NATIONAL IDENTITY

You can find out more about Budget 2007 and national identity at www.beehive.govt.nz/feature/budget+2007+national+identity.

Up to 150km to be added to Te Araroa Walkway

20 May 2007, Prime Minister Helen Clark and Conservation Minister Chris Carter media statement

Budget 2007 grants $3.8 million over four years for ongoing development of Te Araroa, The Long Pathway, which aims to connect Cape Reinga and Bluff through public walkways and tracks

Nationhood celebrated via film, music & heritage

17 May 2007, Helen Clark media statement, Prime Minister; Arts, Culture and Heritage

New funding in the arts, culture and heritage portfolio, aims at preserving and promoting the unique elements of New Zealand's nationhood

Budget 2007 invests in young New Zealanders

18 May 2007, Nanaia Mahuta media statement, Youth Affairs

Budget 2007 shows this Labour-led government’s continued commitment and investment in young New Zealanders

Supreme Court addition to our heritage

17 May 2007, Mark Burton and Rick Barker joint media statement, Justice, Courts

Budget 2007 helps strengthen New Zealand's cultural heritage with funding secured for the new Supreme Court building in Wellington.

Boost for public broadcasting

17 May 2007, Steve Maharey media statement, Broadcasting

Budget 2007 continues to strengthen public broadcasting, raising total investment in broadcasting to $150.2 million this year.

Investing in our stories and our people

17 May 2007, Parekura Horomia media statement, Maori Affairs

Budget 2007 invests in Maori broadcasting as part of an on-going drive to build and share knowledge about our people, language and lives

Support for vital conservation work

17 May 2007, Chris Carter media statement, Conservation

The Department of Conservation is to receive an extra $13.3 million to boost core capability and fund development of a national inventory of New Zealand's species.

Promoting strong community relationships

17 May 2007, Chris Carter media statement, Ethnic Affairs

Budget 2007 expands the Labour-led government's work with NZ's ethnic communities

Waitangi Tribunal gets funding increase

17 May 2007, Parekura Horomia and Mita Ririnui joint media statement, Maori Affairs; Associate Treaty of Waitangi Negotiations

Budget 2007 injects an extra $7.7 million into the Waitangi Tribunal over four years

Boost for New Zealand's international presence

17 May 2007, Winston Peters media statement, Foreign Affairs

Budget 2007 provides extra funding for New Zealand to expand its international presence

Funding support to preserve digital archives

17 May 2007, Judith Tizard media statement. Archives New Zealand

Budget funding of $8.5 million over four years will enable Archives NZ to work on archiving ‘born digital’ materials

Support for digital content expansion

17 May 2007, Judith Tizard media statement, National Library

The National Library will receive Budget 2007 funding of $8 million of operating funding and $200,000 of capital funding over four years for its work on the NZ Digital Content Strategy

New Zealand Poet Laureate Award

17 May 2007, Judith Tizard media statement, National Library

A new Poet Laureate Award will recognise writers who have made an outstanding contribution to New Zealand poetry

PRE-BUDGET ANNOUNCEMENTS

$6.5m makeover for spectacular Cape Reinga

15 May 2007, Mahara Okeroa media statement. Associate Conservation

One of New Zealand's premier visitor destinations, Cape Reinga (Te Rerenga Wairua), in the Far North, is to get a $6.5 million government-funded make over as part of Budget 2007

Budget boost for biosecurity capability

15 May 2006, Jim Anderton media statement, Biosecurity

The Budget invests $37.4 million over four years, in NZ's biosecurity capability.

Peters announces major increase in aid

14 May 2007 Winston Peters media statement, Foreign Affairs

Budget 2007 increases New Zealand's aid budget by $70 million in the 2007/08 financial year -- a 20.2 per cent increase -- and by a total of 69 per cent over the next four years --by far the largest commitment to increase Official Development Assistance spending for decades

Safety fund, wider write-down rules for racing

10 May 2007, Winston Peters media statement, Racing

Budget 2007 includes an annual $1 million fund to improve racecourse facilities, and an extension of the accelerated bloodstock write-down rules

Budget funds to combat hill country erosion

11 May 2007 Jim Anderton media statement, Agriculture

Budget 2007 sets aside $10 million over four years to fund a system to sustainably manage hill country erosion

Government supports Kea global talent network

10 May 2007, Trevor Mallard media statement, Economic Development

Kea, New Zealand's Global Talent Network, is to receive $630,000 a year over three years to help kiwi firms to tap into business and exporting opportunities offshore

Further initiatives for suicide prevention funded

10 May 2007, Jim Anderton media statement, Health

Budget 2007 invests $23.1 million over four years to support suicide prevention initiatives as part of the New Zealand Suicide Prevention Strategy

Campaign against drug abuse plus online database

10 May 2007, Jim Anderton media statement, Health

Budget 2007 invests $5.9 million over four years in raising awareness of the risks of taking drugs and an online drug evidence database that will back it up

Driving higher quality university education

10 May 2007, Michael Cullen media statement, Tertiary Education

Universities are to receive an extra $129 million over four years to deliver high quality and relevant training that meets our economic and social priorities

Budget funding to help future planning of fisheries

10 May 2007, Jim Anderton media statement, Fisheries

Budget 2007 allocates $900,000 over four years to gather more detailed information on commercial fish catches in coastal waters.

Budget 2007 will help international partnership on climate change

9 May 2007, Jim Anderton (Agriculture) and David Parker (Climate Change)media statement

Budget 2007 allocates $1million per annum to a new research fund to help the agriculture and forestry sectors respond to climate change.

New tourism funding for Chinese market

9 May 2007, Damien O'Connor media statement, Tourism

Budget 2007 delivers $7 million over two years to help Tourism NZ's marketing activities in China, and to improveme administration of the China Approved Destination Status.

Antarctic research and international collaboration

8 May 2007, Helen Clark media statement, Prime Miniser

Budget 2007 invests $11.1m over three years for research into Antarctica’s role in climate change and global environmental systems, as part of International Polar Year.

Budget to meet challenges to primary sectors

8 May 2007, Jim Anderton media statement, Agriculture, Forestry and Fisheries

A Budget allocation of $1 million has been made to fund a major summit for the primary industries on the subject of ‘succeeding in a changing global economy’.

Budget 2007: towards a stronger and fairer economy

3 May 2007, Michael Cullen speech, Finance

In a Budget 2007 curtain-raiser speech to Canterbury Manufacturers Association, Dr Cullen says Budget 2007 will continue to strengthen the foundations of the NZ economy without unduly adding to domestic pressures. It will help raise the speed limit of the economy, run prudent fiscal policy; build world class infrastructure; encourage investment; promote savings, and develop a highly skilled workforce.

Pneumococcal meningitis fight gets funding

6 May 2007, Pete Hodgson media statement, Health

From next year every baby born in New Zealand will be eligible for a free vaccine to fight against pneumococcal meningitis. The Government will spend $68 million over the next four years to fund Prevenar vaccine, and add it to the National Immunisation Schedule.

$8.8 million wetland conservation

6 May 2007, Metiria Turei (Green Party) media statement, Conservation

This year’s successful Budget bid for freshwater conservation will do much to enhance the ecological restoration of three of New Zealand’s foremost wetlands

Budget strengthens rural communities in crisis

4 May 2007, Jim Anderton media statement, Agriculture

Rural communities will benefit from a Budget allocation of $2.3 million over the next four years to develop local capacity to respond to adverse climatic events and to assist with risk reduction and readiness issues.

Largest-ever investment in health of older people

1 May 2007, Pete Hodgson media statement, Health

The largest-ever investment in care and support of the elderly will see $150 million over four years invested in residential care and another $81.2 million in helping them stay in their own homes if they wish.

Park will complete war memorial precinct

24 April 2007, Helen Clark and Judith Tizard media statement, Prime Minister and Arts, Culture and Heritage

Budget 2007 delivers $10.9 million towards construction of a New Zealand Memorial Park to complete the redevelopment of the National War Memorial precinct.

Funding for higher quality tertiary education

30 April 2007, Michael Cullen media statement, tertiary Education

Budget 2007 provides a boost of $36.8 million of operating funding over four years and $90 million of capital funding over two years for the Institutes of Technology and Polytechnic, Industry Training Organisations and wananga sectors.

Budget 07 date announced

14 February 2007, Michael Cullen media statement, Finance

In his first major speech of the year, Finance Minister Michael Cullen said Budget 2007 would reinforce the Labour-led government's strategy to transform the New Zealand economy for more opportunities for all families, young and old, and a stronger, unique national identity.