Budget 2024: Mixed reaction from Tauranga parents and community leaders

Finance Minister Nicola Willis received a standing ovation from colleagues reading her Budget 2024 in Parliament.

At Tauranga Primary School this afternoon, most parents were too busy collecting their children and heading to the next commitment to have checked what might be in store for them in the Budget.

Finance Minister Nicola Willis said a $14.7 billion tax package was designed to benefit low to middle-income families with children, but news tax cuts could put $4 to $40 a fortnight back in wallets received a lukewarm response at the school gate.

Among those the Bay of Plenty Times spoke was a mum of two primary school-aged children, who did not want to be named.

She said learning that she and her partner, both working, could be eligible for tax cuts was “unexpected” but it was unlikely to be benefit her family much compared to inflation costs.

She said the Government needed to do more to reduce inflation and offset the high cost-of-living.

What community leaders think of the Budget

Tauranga commissioner chairwoman, Anne Tolley,

Tauranga City Council Commission chairwoman Anne Tolley said the council welcomed confirmation of investment in SH29 improvements and Takitumu North Link Stage 2.

She said these were “critical” to addressing the city’s housing shortage and affordability, and congested road network that was “choking development and commerce”.

Tolley said the funding for regional development, to support economic activity and productivity, and investment towards addressing adverse weather events were “great things” the city could access.

“We look forward to working with the new Infrastructure Delivery Agency and the Housing Infrastructure Fund to unlock residential development and increase housing supply through targeted infrastructure investment.”

Tauranga GP Dr Tony Farrell. Photo / Supplied

Mount Maunganui Medical Centre director Dr Tony Farrell was disappointed to find no specific mention of general practice in the Budget.

“There is a GP crisis in many regions due to inadequate funding and limited staff. We are not getting the appropriate signals from Te Whatu Ora that under-resourcing in general practices will be addressed.

“If not dealt with this will mean more hospital admissions and emergency department visits and many people unable to access their GP. We can only hope that the increase in primary care and public health appropriation will transpire into the help that is much needed.”

Progress results have Campbell Barry in the lead to return for another term as Lower Hutt's mayor. Photo / Georgina Campbell

Some of the first projects to be announced from the new $1.2 billion Regional Infrastructure Fund were regional flood resilience projects, including in the Bay of Plenty.

Regional Development Minister Shane Jones said in a media release they included upgrades to stopbanks and floodwalls on the Whakatāne-Tauranga rivers scheme.

In a statement, Local Government New Zealand vice-president Campbell Barry said councils would see some relief from the “huge infrastructure challenge” they were facing.

“We’re also pleased to see the Budget deliver on a proposal from regional councils for co-investment in critical flood protection.”

Tauranga Business Chamber chief executive Matt Cowley.

Tauranga Business Chamber chief executive Matt Cowley said overall the Budget delivered what was expected.

“Previous Governments had spread funding across many areas, but this Government appears to have consolidated and focused on the basics of crime, education, and health. Tax cuts will help people keep up with the rising cost of living, but it is unlikely to boost retail and hospitality spending,” he said.

“There was little focus on infrastructure, presumably because they are anticipating more user-pays funding models in the future, such as tolling and meter pricing.”

Nigel Tutt, chief executive of Priority One.

Nigel Tutt, chief executive of economic development organisation Priority One, said the commitment to the Roads of National Significance budgeted for would be important in helping to provide critical economic linkages within and outside our region.

Tax cuts would give the workforce “short-term” assistance and hoped it, along with health and education investments, would help New Zealand retain talent.

Tutt said longer term, there was a clear need to build the economy to make fiscal decisions easier.

“The Regional Infrastructure Fund is a good start, as is the National Infrastructure Agency - and we would hope for stronger measures in future budgets.”

Paora Stanley during the Budget Day protest march. Photo / Alex Cairns

Hours after marching in protest on State Highway 2, Ngāi Te Rangi chief executive Paora Stanley said the Budget was “disappointing and underwhelming”.

”So everybody gets $20 a week or whatever, which is kind of nice, but it isn’t earth-shaking. Then the unemployment rate is expected to rise to 5 per cent and Māori could be up around 7 per cent.”

Above-average earners would be happy about the tax cuts, he said, but those “down in the ditch” and trying to get out were “not being looked after”.

Te Puna Trust community connector Tommy Wilson.

Te Puna Trust community connector Tommy Wilson said: “This morning we witnessed the voice of hōhā [very anxious] Māori, in their thousands walking their talk here in Tauranga and across Aotearoa New Zealand. This afternoon we witnessed a Budget that did little to ease the concerns of those who marched.”

“I call it the cut-n-paste Budget where the lifeline to the disabled, the disadvantaged and the desperate has been cut - and now passed to the healthy and wealthy.”

Sandra Conchie is a senior journalist at the Bay of Plenty Times and Rotorua Daily Post who has been a journalist for 24 years. She mainly covers police, court and other justice stories, as well as general news. She has been a Canon Media Awards regional/community reporter of the year.