Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 


Share offer proceeds boost capital investment

Share offer proceeds boost capital investment

The success of the Government’s share offer programme provides a further $1 billion of new capital investment in Budget 2014 without the need to borrow more from overseas lenders, Finance Minister Bill English says.

“The share sale proceeds saw $4.7 billion go to the Future Investment Fund and we said we would spend $1 billion of that on schools, and a further $1 billion on health,” he says.

Future Investment Fund allocations in Budget 2014 include $200 million for health, including $67 million for a new Grey Base Hospital on the West Coast. That takes health spending from the Fund since 2012 to $684 million.

Education is allocated $172.5 million in Budget 2014 to continue the upgrade and replacement of school buildings, and to build new ones, including Pegasus Bay School in North Canterbury. That takes total spending from the Fund on education since 2012 to $391.8 million.

KiwiRail receives a further $198 million from the Future Investment Fund, of which $150 million is earmarked for infrastructure. An additional $25 million covers Aratere-related costs.

In addition to allocations from the Fund, Budget 2014 provides $375 million of new capital for the New Zealand Transport Agency, by way of an interest-free loan, to accelerate $815 million worth of Auckland transport projects.

Other spending allocated from the Future Investment Fund in Budget 2014 includes:
• $75 million for a Christchurch housing contingency.
• A further $40 million to Crown Irrigation to invest in the design and construction of irrigation schemes to boost agricultural production.
• $30.6 million towards the Hobsonville Land Company housing development.
• $11.3 million towards the Crown buying the TVNZ Archive at Avalon.
• $8 million on Te Papa for maintenance and repair.
“Budget 2012 allocated $533.3 million from the Future Investment Fund and Budget 2013 a further $1.4 billion,” Mr English says. “So the $1 billion in this Budget brings the total so far to almost $3 billion.

“That leaves nearly $1.7 billion in the fund for spending on new public assets in Budgets 2015 and 2016, without us having to borrow,” Mr English says.

“This means that thanks to the share offer programme, taxpayers will not have had to borrow money for new capital spending over about five years. The programme to sell down some of our assets to fund new ones is delivering.”

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell:
On The Kim Regime

During the Cuban Missile Crisis, the US had a very clear objective and eventually offered a quid pro quo of the removal of some of its own missiles from Turkey. This time, there’s no clarity about what the US is seeking, or offering.

It hasn’t helped that the US and the global media consistently agree on calling North Korea and its leadership “crazy” and “irrational” and urging it to “come to its senses”. When you treat your opponent as being beyond reason, it gets hard to comprehend what their strategy is, let alone work out the terms of a viable compromise. More>>

 

Recovery: Economic Impact Of Kaikōura Quake Revealed

The report details the impact on small businesses and tourism caused by disruptions to transport infrastructure and the economic impacts... The impact on New Zealand’s Gross Domestic Product (GDP) over the first 18 months following the earthquake has been estimated at $450-$500 million. More>>

ALSO:

Human Rights Commission: Urgent Need For Action On Seclusion And Restraint

Chief Human Rights Commissioner David Rutherford says that while the report makes for sobering reading, the focus should now be on how the recommendations can be used to reduce the occurrence of seclusion and restraint in New Zealand and, in circumstances where it is necessary, to improve practices. More>>

ALSO:

CORRECTIONS (March 2017):

SCHOOL SECLUSION ROOMS (2016):

$11bn Capital Spend, New Debt Target: Steven Joyce On Budget Priorities

First, delivering better public services for a growing country – providing all New Zealanders with the opportunity to lead successful independent lives... And finally, we remain committed to reducing the tax burden and in particular the impact of marginal tax rates on lower and middle income earners, when we have the room to do so. More>>

ALSO:

JustSpeak Report: Bail Changes To Blame For New Billion Dollar Prison

In 2013 criminal justice spending was falling and the Government was mulling over what to spend the money on. 3 years later there are 10,000 people in prison and a new billion dollar prison is announced. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news