Hon Simeon Brown
Minister of Health

Health New Zealand will deliver a significant increase to primary care funding following investment in Budget 2025, Health Minister Simeon Brown says.

“Primary Care is critical to delivering better health outcomes for all New Zealanders but has not received the investment needed in recent years. That is now changing,” Mr Brown says.

“Budget 2025 provides a significant boost to ensure more New Zealanders can see a GP, get timely care, and avoid unnecessary hospital visits.”

The Government’s record investment in health enables the following key funding uplifts for primary care:

• $285 million in performance-based funding over three years, over and above the annual capitation uplift, to support primary practice to be more accessible for patients and deliver more services in the community.
• Annual capitation uplift negotiations are now underway between Health New Zealand and primary care providers. The Government provided Health New Zealand with a $1.37 billion uplift in Budget 2025, including to support a primary care capitation funding uplift.
• $447m primary care investment in Budget 2025 in 24/7 digital health services, after-hours and urgent care, and more funding for training doctors and nurses to work in primary care.

“This is the largest increase in primary care funding in many years. It gives providers the opportunity to begin addressing the impacts of years of underfunding by the previous government.”

The $285 million performance improvement package will:

• Increase access to general practice for patients.
• Incentivise immunisations through targeted performance funding.
• Support GPs to carry out minor elective procedures, helping reduce pressure on hospitals.

“This additional investment has been made possible by the Government’s record investment into health which increased health spending by 7.4 per cent in total funding over the next financial year, an increase of 6.2 per cent per capita.

“When patients can see a GP quickly and affordably, the whole system works better. That’s why this funding matters - because it delivers real results for patients and value for taxpayers.

“We are focused on delivery, investing in more doctors, shorter waits, better care, and smarter investment where it’s needed most.

“Our focus remains on strengthening services, reducing pressure on GPs, and ensuring Kiwis can access the care they need, when they need it. I look forward to making further announcements on how we will increase and retain more doctors and nurses as part of this package,” Mr Brown says.

Notes:

This announcement builds on previous Government initiatives to strengthen primary care, including:

• 100 clinical placements in primary care for overseas-trained doctors
• Recruitment incentives for up to 400 graduate nurses to work in primary care annually for five years
• 100 additional doctor training places at our medical schools over the course of this Government
• Up to 50 graduate doctors training in primary care annually
• Up to 120 training places for nurse practitioners in primary care
• Accelerated tertiary education for up to 120 primary care nurses
• New and expanded access to urgent care and after-hours services
• Access to 24/7 digital health services for all New Zealanders to be launched in the middle of this year.

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