Schools $244m boost 'disappointing' - Labour

Labour leader Andrew Little said the pre-budget announcement was "not a reason for celebrating." Photo / Brett Phibbs

Pre-Budget announcement fails to impress Little who says Govt is merely meeting needs.

A $244 million package to build seven new schools and expand four existing ones to meet roll growth is a "disappointing" Budget announcement, says Labour leader Andrew Little.

It was simply doing what any Government should do in meeting future demand, he said.

"It is good that the Government is doing what it should do ... but it is not a reason for celebrating in the streets that 'hallelujah we've got some new schools', because the Government is keeping up with the needs for families and for children," Mr Little said.

Yesterday's package was among the first announcements of 2015 Budget decisions which Finance Minister Bill English will deliver on May 21.

The Budget will also fund 241 extra classrooms at other schools around New Zealand, half of them in Auckland.

The $244 million funding for the schools will come from the $4.7 billion proceeds of the partial sale of state assets, officially called the Future Investment Fund, although it is not actually a fund.

After last year's Budget there was $1.7 billion left and there is still expected to be some left after this Budget.

Prime Minister John Key announced the first details of the Budget in a speech yesterday to a Business New Zealand lunch in Wellington.

He also announced that $80 million for research and development would be added to the $566 million already budgeted over four years in R&D co-funding.

Mr Key did not mention the shrinking prospects of reaching surplus in the current year which Mr English said this week was "less likely" now than it was a month ago.

But he said when he entered politics, he thought New Zealand was capable of being one of the world's best performing economies again.

"What we are seeing now are the first signs of that."

But New Zealand needed many more years in which its economy grew faster than other developed economies.

"Now is definitely not the time for New Zealand to rest on its laurels."

More reform was needed to provide more certain and better planning rules, expanding access for exporters in overseas markets, investing in roads and broadband and encouraging innovation.

Mr Little described the R&D funding as "chicken-feed" and lacking ambition.

'We need high school'

Kumeu resident Tamsyn Parker is looking for a primary school for her 4-year-old daughter, and said it was "awesome" the Government was planning to build another in her area.

She was planning on sending her daughter to nearby Huapai District School, but she was concerned with the lack of high schools.

"It's great to have another primary school but we already have four schools in this area and no high schools - so that's my biggest concern. The nearest high school is 20 to 25 minutes away by car."

Mrs Parker said she might look at the new primary, but would still prefer if her child could walk to and from school.

Another Kumeu resident, Kerry Cunningham, echoed Mrs Parker's thoughts about a high school.

"It is great the Government is funding new state schools however Kumeu needs [a] high school not a primary school."

- Scott Yeoman