National’s budget priorities: Roads to Nowhere

Written By: - Date published: 1:58 pm, May 25th, 2012 - 4 comments
Categories: budget2012, national - Tags:

The 3 most expensive items in the Budget:

1. $10.24 billion (more than 1/8th of whole budget): Superannuation (problem growing 6.8% this year alone, and unaddressed) – and we could add another $673 million for the unfunded liability hidden in the accounts.

2. $3.69 billion: Debt Servicing

3. $3.32 billion: National Land Transport Agency (inc $804.5 million on Roads of NationalTM Significance and $750 million on new loan facility) – up $334 million

In a zero budget National managed to find $334 million to spend on their pet roads.  Road usage is falling, petrol prices are rising and most of their new RONS struggle to provide more benefits than cost even by National’s most optimistic figures.

But hey, we can find an amount similar to the whole of Hutt DHB’s funding to add to road bill.  We just need to sack 500 teachers, freeze Early Childhood Education subsidies and raid paperboys’ piggy-banks…

4 comments on “National’s budget priorities: Roads to Nowhere ”

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  1. DH 1
    25 May 2012 at 2:37 pm

    Yep. 5% of superannuants have an income over $77,000 with another 6% earning $58-76,000. They’re presently costing us about $1billion a year in super. On top of that most if not all will be homeowners pulling in a very tidy capital gain on the assets every year.

    With total numbers of about 57,000 they’re not even a large voting bloc, it’s not politics stopping them from bringing in means testing on the big earners.

  2. ghostwhowalksnz 2
    26 May 2012 at 9:34 am

    Why is $15mill in the Treasury budget ( of all places) being allocated to a modest building in central London- NZ House

  3. ghostwhowalksnz 3
    26 May 2012 at 10:16 am

    $12 mill for research in Antartica- but its in the Foreign Affairs budget ?

    As well the majority of Labour depts budget is ACC related costs for non earners ?

    The defence force budget ( $3 bill) includes war pensions but there is a separate budget for Ministry of Defence ( $172 mill)
    the veterans pension is $171 mill but its in the Social welfare budget

    The ministry of Justice budget includes up to $800 mill for Treaty settlements. The y also include writedown in property value for treaty settlements and many small items which could add up to $50 mill.
    There is also $4 mill for medical services not detailed- again in the Justice Budget

    They certainly know how to hide things around the various departments.

    The overall effect is to hide some departments are cut severely but the totals look better than previous years due to unrelated items being included.
    That English is rat cunning

    • ghostwhowalksnz 3.1
      26 May 2012 at 10:45 am

      A good example of ‘saucing up some budgets’ is the Ministry of Heath budget above which includes ‘income’ from ACC to pay for medical costs .

      Student loan revenues and costs are spread all over the place, definitely not under Education- Tertiary student costs as it should be

      Most departments capital charges is noted as revenue under Treasury but for the DHBs the capital charge is revenue for Health ??? WTF
      Of course this is just money the government gives them to start out with