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Cuts? Give Us A Break – New Spending Is Still Going Up

Responding to the New Zealand Herald’s front-page coverage of Finance Minister Nicola Willis’s pre-Budget speech, Taxpayers’ Union Communications Officer, Alex Emes, said:

“Nicola Willis has taken a step in the right direction – but let’s not kid ourselves. Cutting the operating allowance to $1.3 billion doesn’t reduce spending, it just means the Government is growing it less aggressively.”

“Since 2017, government spending adjusted for inflation has ballooned by $45.5 billion — that’s an extra $22,000 per household spent every year. Nicola’s $1.3 billion allowance still adds more fuel to the fire.”

“New Zealand is now running the worst primary deficit of any advanced economy. Net core Crown debt has exploded from $59 billion in 2017 to a projected $192 billion this year.”

“This isn’t real fiscal responsibility — it’s fiscal spin. If the Government is serious about turning things around, it needs to set the operating allowance at zero — if not now, then in Budget 2026.

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