Finance Minister reveals where extra $24b needed for Budget 2018 comes from

Grant Robertson outlined where the funding for the extra $24 billion needed would come from for Budget 2018. 

"The government's Budget allowances over the next four years and 100-Day Plan spending is about $24 billion higher than planned by the previous government for the years 2018/19 to 2021/22," the Finance Ministry said in statement. 

Of the $24b, $7.9b comes from the reversal of National's taxcuts. 

"This will fund the Families Package and other 100-Day-Plan commitments."

Nine billion dollars would be pulled from "adopting a responsible debt reduction track", $5.3b would come from "higher tax revenue driven by higher-than-expected economic growth". and $1.5b would come from change to New Zealand's tax system and reprioritisation of funding. 

Reprioritisation is pulling money from other sectors.

As part of the reprioritisation, the Provincial Growth Fund, costing $1 billion per year, will pull $148m of existing funding as part of its operating costs, including $75m from the Tourism Infrastructure Fund and $13m from the Budget 2017 Between-Budget contingency. 

The Growth fund took $80m of existing funding to go towards capital, which could take a portion "of KiwiRail's capital injection for the 2018/19 financial year."

Some would come from reprioritisation, which is pulling money from other sectors. Source: 1 NEWS

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