Notice Board - News

Budget 2006 - Key information

COmVOiceS, Nationwide

Press Release, May 18, 2006

Budget 2006 centres around three themes:

• Economic Transformation
• Families – Young and Old
• National Identity

The Government announced another big operating surplus ($8.5 billion in 2005/06 and $5.8 billion in 2006/07), but again this hasn’t translated into tax cuts of any shape as the Government argues it is committed to paying for pre-planned capital expenditure. 

Within the three Budget 2006 themes are several announcements of new funding for community-based initiatives and a significant increase in health funding.  The central focus of many of these funding commitments is violence prevention.

Also central to Budget 2006 is the commitment of $85m in funding in 2005/06 and $1,845m over four years to pay for the extension of the Working for Families package, which is already underway.  

Budget 2006 commits $68.8m over four years to tackle violence in the community and $3 billion in new funding to the health budget over four years, with key funding announcements being made in the aged-care sector, child health and obesity prevention.

Key funding announcements include:

$16.4m more for council and community-based housing

This funding increase is for new and renovated houses provided by local councils and community organisations, and is part of the Labour-Progressive focus on forming partnerships with local government and community groups to deliver vital public infrastructure.  This commitment will expand the Housing Innovation Fund demonstration project by another year.

$10.8m for restructuring Victim Support

This funding will be allocated over the next four years for restructuring Victim Support, which began in 2004.  The funding will be directed towards ensuring the staff and structure is “effectively meeting the needs of the public” and will include hiring more practice specialists and other key staff.

$9m for family violence prevention services

This funding, a 20% increase, will be spread over four years and go towards non-government, community service providers such as 24-hour crisis lines, counselling, social work support, safe-house accommodation, advocacy and information.  The funding will be administered through CYF ($8.2m over four years) and through Family and Community Services ($0.796m over four years).

$11.5m for a community violence prevention campaign

To reinforce the unacceptability of family violence, and change attitudes towards violence.

$17.5m over four years to expand the Youth Transition Service

This funding gives communities resources for school leavers, and $10m is earmarked over four years additional service delivery to combat youth gangs in South Auckland.

$643,000 over four years for Project Early

An early intervention programme for at-risk 3-8 year olds in Auckland and Christchurch .

$126m over four years to improve home-based support services ($58m) and age-related residential care ($68m) for older New Zealanders

This funding is surplus to the $39.5m Future Funding Track and will be distributed to DHBs according to the population-based funding formula, who will then negotiate with providers of aged care services.

$76m over four years for obesity prevention campaign

The details of the campaign will be announced later in the year, but initiatives will focus on working with schools, primary health care, social agencies and food industry bodies through the Health Eating, Healthy Action plan.

$80.4m over four years for child health

This funding includes $40.8m for strengthening the child and adolescent oral health service, $23.6m for ‘school ready’ health checks for four-year olds and to expand Well Child health checks for pre-school children, and $16m for the creation of a universal newborn hearing screening programme.

$280m to extend the Primary Health Care strategy

Another funding announcement that is already underway, this money is earmarked for subsidies for doctor visits for those aged 45-64.