Finance Minister Nicola Willis has locked in a date for Budget Day and has said cost savings will again be a key feature of this year’s Budget. 

Willis said Budget Day would be on May 28. 

She said in her address to Parliament’s Finance and Expenditure Committee, it would be a “responsible Budget” with a careful stewardship of public finances. 

She promises it will focus on delivering core public services like healthcare, education, rebuilding the Defence Force capacity, and law and order protections. 

Finance Minister Nicola Willis said this budget would again be filled with cost-cutting measures. Photo / Mark Mitchell 

“This year’s Budget will focus, therefore, on supporting the delivery of core public services. In particular, investments for healthcare, investments for education, for rebuilding the capacity of our Defence Force, and in our law and order protections. 

“The Budget, in order to make these investments, will demonstrate tight control of discretionary government spending and will fund only a limited number of commitments.” 

She said there would be “no splashing of cash”. 

“That would be an irresponsible course of action, given the several years in which New Zealand has previously been building up debt and deficit,” Willis said. 

“Instead, our Budget will show careful stewardship of public finances. 

“Outside the priority areas I just mentioned, most agencies and most ministers have been asked to plan to manage pressures with little or no additional funding.” 

Willis said she would be instructing ministers to act “as households do,” so the focus can remain. 

“Our Government is running a tight ship. 

“This tight ship, of course, has allowed us to ensure that tax relief continues to flow into New Zealanders’ bank accounts and that the investment boost tax relief for businesses continues to operate, fixing a basic aspect of our tax law now.” 

Willis said that the pick-up is now forecast to be “slightly slower” than last year’s Budget. 

She maintained this was not due to any policy decisions by the Government. 

“We have had a series of these downward revisions, which reflect both uncertainty about how the downturn would play out and the unwinding of some highly optimistic assumptions made prior to the 2023 election by the Treasury at that time. 

“And look, obviously these forecast revisions are headwinds, but the Government has repeatedly said it won’t overreact to forecast changes.” 

Willis also said she remained steadfast on the Government’s “credible path to surplus” and is confident about the balance being right. 

Last week, Prime Minister Christopher Luxon confirmed the 2026 election will be held on November 7.