Episode description
Episode description
The 2023 Budget has proven difficult to define: neither the belt-tightening exercise that was promised, nor the blatant bribery sometimes seen in election years. Certainly, it is no election clincher, but it has not lost Labour the election either, and backs National into an uncomfortable corner where the opposition must now explain what policies or services it would do without.
Grant Robertson with the 2023 Budget
'It is a Budget that does exactly what it says on the tin' - Grant Robertson
The 2023 Budget has proven difficult to define: neither the belt-tightening exercise that was promised, nor the blatant bribery sometimes seen in election years.
Certainly, it is no election clincher, but it has not lost Labour the election either, and backs National into an uncomfortable corner where the opposition must now explain what policies or services it would do without.
Listen to the full podcast
Finance Minister Grant Robertson hailed it as a Budget for the times we're living in, and its title highlighted the two main focuses: Support for Today, Building For Tomorrow.
The first part signalled cost-of-living relief, like extending the free 20-hours a week childcare subsidy to two-year-olds, saving parents about $133 a week. The policy, however, doesn't begin until March - not exactly Support for Today.
Then there's the decision to scrap the $5 fee for prescriptions and make public transport free for under-13s and half price for those aged 13-24. On the other hand, the half-price fares currently offered to everyone else and the fuel excise discount are set to expire from the end of June.
Read more:
RNZ's full Budget 2023 coverage
Budget 2023 at a glance: What you need to know
Cost-of-living Budget centres on cheaper childcare
'Blowout', 'broke', 'Budget for the rich': Opponents take aim at Budget
Economy: Treasury optimistic over recession risk
Climate: Public transport and warmer homes
Health: Prescription fee removed, focus on wait lists
Education: Focus on early childhood, school and tertiary costs
Max Rashbrooke: Smart moves but no transformation for poor
The offerings largely target young families - a demographic courted by both National and Labour - but many "middle" New Zealanders will be asking what's in it for them. Charities and anti-poverty groups, along with the left-leaning Green and Māori parties, were demanding more for the most vulnerable.
At the same time, the right-leaning National and ACT were complaining the Budget contained too much spending. This year's deficit is set to hit $7 billion - much more than expected - and the books stay in the red for a year longer…