13 highlights of Budget 2022
Our Government has just released this year’s Budget, which sets out the next steps in our plan to build a high wage, low carbon economy that gives economic security in good times and in bad. It’s full of initiatives that speed up our economic recovery and ease cost pressures for New Zealanders.
There’s a lot in Budget 2022 – so here are 13 key things the Budget delivers:
Cost of living support for more than two million Kiwis
With global inflation affecting prices here at home, we’re providing extra support for New Zealanders with our cost of living package. This includes a short term payment for the 2.1 million people earning less than $70,000 who don’t already receive the Winter Energy Payment. You can check out everything in the package here.
An extension to the fuel tax cut
As part of our cost of living package, we’re extending the fuel tax cut and reduced road user charges for a further two months, helping to ease the pressure at the pump.
Half price public transport
We’re making it cheaper for Kiwis to get around using public transport. We’re permanently halving public transport fares for people with Community Services Cards, and extending our current half prices fares for everyone until 31 August.
More lifesaving medicines and treatments
This year’s Budget includes the largest ever investment in the health system and Pharmac, which will fund more medicines and treatments for New Zealanders. This is on top of our previous record investments in Pharmac to provide more lifesaving drugs for Kiwis.
Support for 64,000 Kiwis to get their licence
Driver licences are needed for up to 70% of jobs, yet a lot of people have trouble accessing lessons or tests because of cost barriers - especially sole parents and those in our rural communities. Through Budget 2022, we’re providing support to help more Kiwis get on the road and get into work.
More families in homes
We’re helping even more Kiwis into homes. We’re lifting price caps for First Home Grants, and removing price caps entirely from the First Home Loan. We’ve also launched a new Affordable Housing Fund, which will deliver new affordable rentals to support families in areas facing the biggest housing challenges.
More paramedics, ambulances and choppers
We’re making sure New Zealanders can get emergency healthcare when they need it, with funding for more paramedics, new ambulances and new emergency choppers around the country.
Cheaper clean cars for families
We’re launching a new Clean Vehicle Upgrade programme, which will make it cheaper for low and middle income families to buy an electric vehicle when they get rid of their old one. It’s just one of the ways we’re investing in climate through Budget 2022 – we’re also helping more businesses transition to greener energy, backing farmers with new technology to cut agricultural emissions and more.
New classrooms and more funding for schools
We’ve worked hard to make sure all Kiwi kids get a great education, and with Budget 2022, we’re taking the next steps. We’re building hundreds of new classrooms and ensuring schools have the teachers and equipment they need with a boost in operating funding. We’re also scrapping the outdated decile system, to make school funding fairer.
Improved specialist mental health support
We were the first Government to take mental health seriously. Already, we’ve made the biggest ever investment to build a solid foundation for a whole new mental health and addiction system - and with Budget 2022, we’re boosting support for intensive mental health services and rolling our more mental wellbeing support for children.
More support for local businesses
We’re making it easier for small and medium-sized businesses to access finance so they can expand, with a new Business Growth Fund. We’re also upgrading rural broadband around the country to help regional businesses stay connected, and providing support for even more businesses switch to greener energy.
More Kiwis in work and training
To support even more New Zealanders into jobs and training, we’re extending Apprenticeship Boost to support another 38,000 apprentices. Mana in Mahi is also receiving a boost to support another 1,600 young people into work and training, and there’s extra funding for Māori Trades Training.
...and we’re doing all of this while continuing to manage the economy responsibly.
Our strong economic management means we can invest in critical services and provide support for Kiwis through a tough time, while keeping a lid of debt. Thanks to our careful management of New Zealand’s economy, we’re expected to return to surplus quicker than National did after the global financial crisis.
These are just a few of the ways we’re building a secure future for New Zealand through Budget 2022. You can learn more about everything we’ve done since coming into Government here.