Budget 2023: Support for Today, Building for Tomorrow

Budget 2023 strikes a careful balance between supporting New Zealanders with the cost of living, delivering core public services well, improving the resilience of the country’s critical infrastructure and economy and returning to a more sustainable fiscal position.

The volatile global economic backdrop, including high levels of inflation and domestic challenges, including from Cyclone Gabrielle and the Auckland Anniversary Weekend Floods, make our balanced and targeted approach essential.

For Budget 2023, we have focused on targeted cost of living support that will not unnecessarily exacerbate inflation pressures, and will take pressures off Kiwis in their everyday lives. We have a particular focus on supporting parents through reducing costs for early childhood education, scrapping prescription charges and targeted support to reduce household energy bills and public transport costs.

We are also investing to deliver core public services, including in health, education and housing. It takes significant steps towards the goals of our Economic Plan, for a high-wage, low-emissions economy that delivers economic security. Investments in the Budget will improve our economic resilience through investing in research, innovation and skills, and infrastructure.

This Budget continues our careful balance - providing support for our people today while building back better for tomorrow.

For details on the initiatives funded by Budget 2023, see below.

Budget helps ease cost of living pressures

Strong economy forecast to weather the storm

Cheaper Childcare: 20 hours free ECE extended to two-year-olds

Helping with health costs: Prescription charge scrapped, providing cheaper medicine

Targeting transport costs: Free public transport for children

A more resilient climate-friendly transport network

Trustee tax change to improve fairness

Tech investment lays foundations for future economy

Investing in science to boost our economic advantage

New National Resilience Plan to rebuild better