The Budget makes about $5.3 billion in savings each year for the next four years. Photo: RNZ / Samuel Rillstone
Labour says the newly announced government Budget is being paid for by New Zealand women.
The Budget makes about $5.3 billion in savings each year for the next four years - about half of that from the pay equity changes - with about $6.7b in new spending going largely to health, education, law and order, and defence.
But Labour's finance spokesperson Barbara Edmonds told Checkpoint it was being paid for by women.
"We know that budgets are always about choices.
"The government made tax cuts to multi-nationals, they gave tax cuts to landlords, tax cuts to tobacco companies, but they are saying to women and hard working women in low paid jobs that you're not worth it."
Barbara Edmonds at the Labour MPs' caucus retreat, Palmerston North, 23 January 2025. Photo: RNZ / Reece Baker
Edmonds said the Budget was disappointing, but would not say what she would reverse or do instead.
"We have to have a really good look at the Budget in the coming days, we've only really had an hour on the Budget.
"And then we are basically going to pick through it line by line and we are going to have to make choices as well and it will be part of our fiscal plan going forward."
Finance Minister Nicola Willis defended the Budget.
She told Checkpoint it was for every man and woman in New Zealand that wanted to get ahead.
She said it was also for people who wanted a "responsible government that will ensure we don't ... whack everything on the credit card and ask our children to pay the debt".
"It's a responsible budget that will grow New Zealand and create better opportunities for people from all walks of life."
Willis said the whole cabinet had made some "really thoughtful" investments.
Photo: RNZ / Samuel Rillstone
KiwiSaver
When asked about the new KiwiSaver cuts, the Minister claimed the changes would mean when people retire, they would actually end up saving more.
"For most people if they increase their of rate contribution to match their employer their KiwiSaver balance could be a lot bigger.
"In some cases up to 25 percent bigger."
Willis said that it was a choice and if people contributed less they would end up with a smaller KiwiSaver balance.
Working for Families changes
The Working for Families changes will give households an average extra $14 a fortnight.
Willis acknowledged it was a modest amount but said it was "absolutely going to make a difference over the course of a year to get a few more dollars".
"Part of what it's about is creating that incentive is that we want people to be better off when they choose to work than when they are on the benefit."
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