There is no more money on the table for teachers, but the New Zealand Educational Insitute says that Government's deal does not go far enough. 

Earlier today, it was announced primary teachers and principals voted overwhelmingly rejected the Government's latest offer. It means another strike is on the table. 

Prime Minister Jacinda Ardern says as the Wellbeing Budget draws closer, she appreciates even more the demand on the taxpayer dollar.

She says education is absolutely a priority, but the $700 million package is the best the Government can offer.

"I understand the frustration of teachers and principals, I do, but from the Government's perspective, we're also facing a range of competing needs in areas that I know teachers care about too."

However, NZEI President Lynda Stuart told Larry Williams have other concerns, not simply pay. 

"The demands on our teachers is absolutely huge. That's around the paperwork they have to do, but it's also the fact they aren't getting the support they need for the students with special needs." 

She says in the last offer were two alternatives; one to bring in the top pay bracket a year earlier, or 15 minutes extra a week of classroom release time. However, they want an hour extra a week.

"Having to choose between those two options, our teachers just said no." 

Stuart says that next month there will be union meetings to discuss where they have got to, and the option of work-to-rule or strike action.

"None of which we actually want to be doing. We would like to be able to settle this."