Budget 2026 demonstrates the economic and fiscal discipline needed to steer New Zealand through an uncertain global environment and into a brighter, more secure future, Prime Minister Christopher Luxon says.
"Against a challenging global backdrop, we are staying the course on responsible fiscal repair while supporting economic growth to create jobs and lift wages," Mr Luxon says.
"Budget forecasts show New Zealand returning to surplus a year earlier than expected, $6 billion less borrowing than previously forecast and economic growth averaging 2.7 per cent despite international volatility and unrest.
"The growing economy is expected to create 220,000 more jobs over the next four years, with wages outstripping inflation over that period. This means more opportunities for Kiwis, and greater choices about what to do with your hard-earned money.
"The global fuel crisis has affected most households and businesses. While the challenges remain, the positive outlook shows the Government's economic programme is helping ensure New Zealand is well-positioned for the future.
"At a time when many Kiwis are making careful choices with their budgets, the Government must do the same. New Zealand cannot tax, borrow and spend its way out of every challenge.
"We have made $50 billion of savings across three Budgets, and this year have redirected investment to new roads to help boost economic growth, to Police to crack down on crime, to schools so our kids are taught the basics brilliantly, and to the health system to ensure people get care when they need it.
"This financial discipline translates into real economic security, with Budget 2026 rebuilding New Zealand's financial buffers. Without a responsible path back to surplus, Kiwis would face the real risk of higher debt, higher interest rates and higher taxes.
"Budget 2026 is all part of our plan to fix the basics and build the future, to create a more secure future for all Kiwis no matter what the global environment brings."
