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Budget 2016 delivers extra support to students who need it most, Education Minister Hekia Parata says.

“In line with our strategy of directing extra funding to where it is most needed, we are putting an additional $42.1 million of operating funding over the next four years into services for students with special needs,” Ms Parata says.

Budget 2016 will invest $347.8 million of operating funding over this year and the next four years for the care and protection of vulnerable children and young people, Social Development Minister Anne Tolley says.

“This operating funding addresses increased demand in the current Child, Youth and Family model, and will help transform it into a world-class care and protection system delivering the safety and long-term life outcomes that young New Zealanders deserve,” Mrs Tolley says.

Budget 2016 uses a Social Investment approach to direct an extra $43.2 million of operating funding over four years to schools educating about 150,000 students most at risk of educational failure, Education Minister Hekia Parata says.

The schools targeted for this new funding have students who have spent a significant proportion of their lives in benefit-dependent households.

“Most of these households do a great job of helping their children do well at school,” Ms Parata says.

Budget 2016 provides $882.5 million for school property, comprising $727.3 million of capital funding and $155.2 million of operating funding over the next four years, Education Minister Hekia Parata and Associate Education Minister Nikki Kaye say.

“The package provides for growth across New Zealand, as well as investment in public private partnerships and significant investment in Canterbury. It will provide nine new schools, 480 new classrooms, two school expansions and the relocation and rebuilding of three schools and a kura.”

The Government is investing $36 million to ensure more New Zealand families live in warmer, drier and healthier homes, Health Minister Dr Jonathan Coleman and Energy and Resources Minister Simon Bridges say.

The investment includes:

Budget 2016 will invest an additional $96 million of operating funding over this year and the next four years to make it easier for low-income New Zealanders to access advice from legal aid lawyers and community law centres, Associate Justice Minister Simon Bridges says.

Key parts of the package are:

The Government is demonstrating its commitment to New Zealand’s economic growth and mobility by investing $357.9 million in key transport projects, Transport Minister Simon Bridges says.

The investment includes:

Budget 2016 provides $19.7 million of new operating funding for Crown prosecutions over the next four years.

“This investment will ensure serious offenders continue to be held to account through New Zealand’s high-quality Crown prosecution services,” Attorney-General Christopher Finlayson QC says.

Crown prosecutions are managed by Crown Law through a network of 17 Crown Solicitors who are responsible for the conduct of prosecutions on behalf of the Crown. Each Crown Solicitor is a partner in a private law firm.

The Budget will enable our security agencies to remain effective in a rapidly-evolving security environment, NZSIS and GCSB Minister Christopher Finlayson says.

The New Zealand Intelligence Community (NZIC) will receive new operating and capital funding of $178.7 million over four years as part of Budget 2016.

“A fundamental responsibility of the Government is to protect the safety of New Zealanders,” Mr Finlayson says.

Budget 2016 invests heavily in core justice services, with $208.4 million in additional funding over the next four years – the largest increase to Justice and Courts in almost a decade, Justice and Courts Minister Amy Adams says.

“This investment underpins the Government’s commitment to delivering core justice services and keeping New Zealanders safe. It will better support access to justice and strengthen efficiencies across the system,” Ms Adams says. 

An extra $96 million over four years will ensure more New Zealanders get the surgery they need, Health Minister Dr Jonathan Coleman says.

“Access to elective surgery is a priority for this Government. It makes a real difference to patients and their families.

“As New Zealanders live longer, access to elective surgery is becoming more important than ever. Doing more elective surgery each year is crucial.

“This funding boost is part of the continued effort to increase elective surgeries by an average of 4,000 a year,” Dr Coleman says.

The roll-out of a national bowel screening programme is on track to begin in 2017, Health Minister Dr Jonathan Coleman says.

Budget 2016 invests $39.3 million over four years for national bowel screening – starting with Hutt Valley and Wairarapa DHBs. This will be followed by a progressive roll-out across the country.

Additional funding has also been set aside in contingency to enable the IT support needed for a national screening programme.

The Government’s investment in health will reach a record $16.1 billion in 2016/17, Health Minister Dr Jonathan Coleman says.

“Delivering better health services remains this Government’s number one funding priority. Budget 2016 delivers on that by investing an extra $2.2 billion in health over four years for new initiatives and to meet cost pressures and population growth.

“An extra $568 million will be invested in 2016/17 - the biggest increase in seven years, and almost $170 million more than last year.

Budget 2016 invests $258 million to ensure people most in need of social housing have access to this essential service, Social Housing Minister Paula Bennett says.

“The additional investment in social housing will provide at least 750 more places for individuals and families on the social housing register with the most pressing housing needs,” Mrs Bennett says.

The Government is phasing out a subsidy in the Emissions Trading Scheme that allows some businesses to pay one emissions unit for every two tonnes of pollution they emit, Climate Change Minister Paula Bennett says.

The one-for-two subsidy was a temporary measure introduced during the global financial crisis to help moderate the initial costs of the ETS while businesses were struggling.

“The subsidy will be phased out over three years to give businesses time to plan and adjust, to support a more stable market,” Mrs Bennett says.

The Government is making a major investment in growing innovation in Budget 2016, through the Innovative New Zealand package to encourage entrepreneurship, skills and economic growth.

“Innovative New Zealand is a series of 25 initiatives that will see $761.4 million invested over the next four years in science, skills, tertiary education and regional development initiatives. These will help diversify the economy, and support more jobs and higher wages for New Zealanders in the decade ahead,” Economic Development Minister Steven Joyce says.

Summary

Budget 2016 will provide $94.4 million of new funding over the next four years for regional economic development initiatives that will boost economic growth and benefit communities across regional New Zealand.

This dedicated regional investment funding is part of Budget 2016’s Innovative New Zealand package, which aims to unlock opportunities for innovation and diversification across New Zealand.

Summary

A total of $256.5 million in operating funding over the next four years will be invested across the tertiary education sector through Budget 2016’s Innovative New Zealand package as the Government continues to incentivise the provision of skills for the 21st century.

This package will encourage training in disciplines such as science, engineering, agriculture and the trades as we continue to grow a high-value, diversified New Zealand economy.

The Defence Force receives new operating funding of $300.9 million over four years as part of Budget 2016 to support the work it does, Defence Minister Gerry Brownlee says.

“This funding follows the 2013 Defence Mid-Point Rebalancing Review, which determined indicative funding needs of the Defence Force to 2030,” Mr Brownlee says.

“The Review continues to be implemented, and I’m pleased that this is the third year that new funding has been made available.

Summary

The Government will significantly increase its investment in science and innovation through Budget 2016’s Innovative New Zealand package, providing a further $410.5 million in operating funding over the next four years.

Investing in the work of our scientists and innovators is hugely important for developing an innovative New Zealand with a truly resilient and diversified economy.

The Government’s support for Christchurch has topped $17 billion as new arrangements bring in an exciting phase of regeneration, the Minister supporting Greater Christchurch Regeneration Gerry Brownlee says.

“Since the earthquakes in 2010 and 2011, the Government has backed greater Christchurch and our financial support has helped people make huge strides in their recovery,” Mr Brownlee says.

Budget 2016’s $2.1 billion public infrastructure package will deliver on the Government’s commitment to build a stronger, more productive economy and deliver better public services, Finance Minister Bill English says.

Education, transport and housing will all receive considerable investment, as will the residents of Christchurch, who will see the results of the Government’s ongoing commitment to rebuilding and regenerating the city.

Budget 2016’s Social Investment package will help the most at-risk New Zealanders lead better lives by intervening early and investing in public services tailored to their circumstances, Finance Minister Bill English says.

The package, which provides $641.6 million of operating funding over the next four years and $10.5 million of capital, includes additional support for vulnerable children as well as initiatives in corrections, education and health.

Treasury’s latest forecasts show rising surpluses and falling debt as the Government maintains its careful management of public spending, Finance Minister Bill English says.

“This is our eighth Budget and the books are in good shape.”

“We turned an $18.4 billion deficit in 2011 into a $414 million surplus last year, but a tight rein on spending is still required to start repaying debt.”