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Budget 2006
Budget 2006 will be Michael Cullen's seventh as Minister of Finance. It will continue government's progress in transforming the economy and improving the living standards of families young and old. New Zealanders are wealthier, healthier, better educated and better protected in the workplace and on the street. Budget 2006 will respond to the fresh mandate of Election 2005, delivering election promises made by Labour and by those who now support Labour in government. It will maintain a steady hand on the macroeconomic tiller as the economy travels through some difficult waters ahead. And it will maintain firm indications of the long term direction of fiscal and economic policy to support confidence amongst NZ business and international investors. All media statements and speeches related to Budget 2006 can be found at www.beehive.govt.nz/budget2006
Government moves fast to improve Broadband
The telecommunications package announced on 3 May means faster, better broadband. Communications Minister David Cunliffe says the package is part of the Government's drive to transform the economy and push New Zealand's broadband performance into the top quarter of the OECD. The package includes:
- Requiring the unbundling of the local loop and sub-loop lines between telephone exchanges and homes and businesses, allowing other Internet Service Providers to compete.
- Regulatory action such as information disclosure, accounting separation of Telecom's business operations and enhanced Commerce Commission monitoring.
- Better, cheaper broadband at upload speeds faster than 128kps.
- Encouraging alternative telecommunications infrastructure investment, including reviewing public sector investment; reviewing Telecom's ability to reduce local prices solely in response to new competing infrastructure investment; developing a rural package; and expansion of the Digital Strategy Broadband Challenge fund.
$9.5 million to improve behaviour in schools
Schools will get more help in efforts to tackle disruptive behaviour, with new Budget funding of $9.5 million over four years. Education Minister Steve Maharey says the Budget 2006 funding will help schools promote positive behaviour and tackle disruption, aiming to provide a safer, more productive learning environments. The funding will ensure children with severe behaviour difficulties can remain in school, without putting themselves or others at risk; ensure good policies and guidelines in every school; identify children at risk of developing severe behaviour problems; and continue Project Early in Auckland and Christchurch. The funding enables the government to build on already substantial progress, including the Student Engagement Initiative and specialist teachers in schools.
Hodgson invites reality to electives debate
The government's health priorities for the upcoming financial year will focus on the changing needs of New Zealand families. In a speech reflecting on his first six months as Health Minister, Pete Hodgson signalled major work programmes across the health sector. To meet the changing needs of New Zealanders, the government's priorities for the next financial year are:
- Getting ahead of the chronic disease burden, including obesity
- Improving children's health, including stronger child health services
- Enhancing the Primary Health Care Strategy and the population approach to health care
- Improving aged care, particularly for the growing number of New Zealanders who wish to remain in their homes for longer
- Focussing strategically on health workforce development
- Improving patient care through the Health Information Strategy
- Better cost-effectiveness for more and better health services
New Zealanders should be proud of their elective surgery system, but should continue to expect improvements. The figures released in his speech include:
- Total hospital discharges: 26 percent higher than the OECD median - NZ is behind France and the UK, ahead of Australia, USA, Japan, Germany, the Netherlands and Canada
- Hip replacements: up by 24 percent since the change of government
- Knee replacements: up by 52 per cent
- Cataract procedures: to increase by 40 percent over next 2½ years
- Bypass grafts: slightly down, but have been substantially replaced by a 75 per cent increase in angioplasties
- Overall: 106,000 elective surgical procedures recorded in 2005 - this figure excludes the growing number of surgical outpatient procedures
New Zealand Disability Strategy 5th anniversary
In the five years since the launch of the NZ Disability Strategy, the government has become more responsive to disability issues and has developed a toolkit to address the impacts on disable people of laws, policies, programmes. Progress to date includes:
- 2001: The Pathways to Inclusion Strategy to improve the quality of employment opportunities for disabled people.
- 2002: Office for Disability Issues established to promote and monitor the implementation of the New Zealand Disability Strategy.
- 2004: Telecommunications Relay Service established to overcome barriers that deaf, hearing-impaired and speech-impaired Kiwis face using standard telephone services.
- 2004: report on the NZ Disability Survey, entitled "Living with Disability in New Zealand". Survey is to be repeated in 2006 and 2011.
- 2005: Disability Advisory Council established to provide advice on implementation of the Disability Strategy and emerging issues
- 2006: New Zealand Sign Language Act passed, declaring NZ Sign Language to be an official language of New Zealand.
- 2006: more closures of institutions for people with intellectual disabilities. 80 clients from Braemar Hospital were resettled into the community in December 2004, and by April 2006, over 170 former residents of Kimberley Centre, have been resettled into the community.
- The government has approved a $9.49 million funding increase for the Total Mobility scheme.
More certainty for science funding
Research, Science and Technology Minister Steve Maharey says the government is to work with the science sector to implement changes agreed by Cabinet, including greater certainty of funding for programmes with a proven track-record. He says the changes aim to put greater trust in scientists and science organisations, and mean more consistent support for long term research and aim to reduce the costs and complexity of the funding system. Changes to be worked through with the sector include:
- investments for long-term programmes with proven track record
- assessment of programmes for scientific quality, fit with national priorities, and delivery of outcomes
- Funding processes to be cheaper, less complex, more competitive
- More certainty for essential 'backbone' infrastructure
- More capabilities for Crown Research Institutes
May is NZ Music Month!
The government is proud of the strength and importance of New Zealand music and its contribution to our national identity. New Zealand Music Month promotes New Zealand music, increases airplay of New Zealand music on commercial radio and celebrates our New Zealand musicians and their talents. NZ Music Month was launched at a free gig in Wellington featuring the Bleeders, Deja Voodoo and Cherry's Gemstones. Airplay of New Zealand Music has seen a meteoric rise in the last 4 years, partly thanks to the New Zealand Music Code being embraced by the recording and broadcasting industries. The Labour-led government is also promoting New Zealand music and musicians overseas, boosting their potential to increase our export earnings. The government also this week announced it will grant Kiwi FM access to new frequencies under an agreement that will help the 100 percent Kiwi music station stay on the airwaves. For more info, see www.nzmusic.org.nz
David Parker returns to Cabinet
On 2 May, Prime Minister Helen Clark announced that David Parker would return to Cabinet. He has resumed his former responsibilities as Minister of Energy and Minister Responsible for Climate Change issues. In addition, he takes on the portfolio of Minister for Land Information. Annette King has been appointed Minister of Transport.
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