From Hon Judith Collins KC <[email protected]>
Subject Collins' Comments | 23 May 2025
Date May 23, 2025 4:01 AM
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Dear John,

Budget 2025 release and focusing on Health, Education and Defence
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On 22 May the Budget was read by Hon Nicola Willis the Minister of Finance =
and this summary focuses on the topics of Health, Education and Defence.
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Health
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Budget 2025 will provide $7billion that will provide an operating uplift fo=
r services provided by Health NZ, targeted funding to support better GP and=
after-hours care and funding for additional cancer treatments and other me=
dicines.=C2=A0

It will put $164 million over four years to expand urgent and after-hours h=
ealthcare services across the country.=C2=A0

This means 98 per cent of New Zealanders will be able to receive in-person =
urgent care within one hour=E2=80=99s drive of their homes.=C2=A0

Community based urgent care will get extended hours to help the 5000 Kiwis =
who need it daily.

Rural urgent and after-hours care will be funded to ensure a trained urgent=
care professional is available on call 24/7 to provide in-person care.=C2=
=A0

Strengthening Health services for the elderly will see investment of $24 mi=
llion over four years =C2=A0for people who don=E2=80=99t need continued hos=
pital treatment, to move to other care places in the community, including a=
ged residential care.

As part of Budget 2025, the Government will increase Disability Support Ser=
vices (DSS) funding for residential care by $60 million each year over the =
next four years, starting from 1 July 2025.

DSS provides essential services and supports more than 52,000 disabled peop=
le, including about 7,200 people in residential care facilities.=C2=A0

Budget 2025 invests $28 million over four years to fund the transition from=
a Police-led response to a mental health response to 111 mental distress c=
alls.

The new multi-agency mental health response service will involve 10 new co-=
response teams and a significant boost to the capacity of mental health tel=
ehealth services. There will be increased funding for training new psycholo=
gists and psychiatrists.

The Budget also invests $50 million in improving the safety, privacy and di=
gnity of mentally distressed people at mental health facilities.=C2=A0

A new hospital is promised for Nelson by 2029 and emergency department impr=
ovements to facilities and staffing in Wellington, Auckland and other centr=
es, are to be funded.

Education
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With the goal of Strengthening Education, the Budget will provide $1.5 bill=
ion to improve student achievement, including an historic investment in lea=
rning support with $646 million of initiatives to ensure earlier identifica=
tion of and better help for children with additional physical, learning and=
behavioural needs, which will change lives.

It will also benefit their classmates, whose teachers will now be better su=
pported to meet diverse learning needs.

The extra Budget funding will provide more teacher aide hours, more special=
ist support, learning support coordinators, an expansion of early intervent=
ion services, and new learning support classrooms.

Financial education will become a core element of the social sciences curri=
culum for Year 1-10 students from 2026 and will extend to year 11-13 studen=
ts when required.

Extra maths help will be available for students who need it, with $100 mill=
ion of new funding for early intervention and support.=C2=A0

There is a $140 million package of services to lift school attendance, and =
this delivers on an ACT and National coalition commitment.=C2=A0

The subsidy available to independent schools will increase to $15.7million =
over four years.

New funding in Budget 2025 of $646 million operating, and $101 million capi=
tal, is the largest boost to learning support in a generation.

Finally, more than $700 million has been set aside to deliver new schools, =
purchase sites, expand some schools and build new classrooms.

Defence

Budget 2025 =C2=A0provides Defence Force and Foreign Affairs with greater c=
apability, with $1.9 billion total operating and $1.1 billion total capital=
investments to be provided that recognises the fast-changing geostrategic =
context and the critical role New Zealand plays in supporting peace and pro=
sperity in the Pacific. An additional $1.6 billion total capital is pre-com=
mitted against Budget 2026 for further strengthening our Defence Force.=C2=
=A0

Budget 2025 allows investments in critical tools that support our national =
and economic security. This ranges from updated and interoperable missile s=
ystems to counter uncrewed aerial systems (UAS) to protect our people and a=
ssets, through to planes that are essential for deploying troops and equipm=
ent and supporting international trade and diplomatic missions.

We will be looking to use New Zealand businesses to supply products and tec=
hnology where it makes sense to do so, further demonstrating the Government=
=E2=80=99s commitment to supporting those who are innovative and capable of=
developing the tools and capability that Defence needs.

The funding of $2.7 billion in capital and $563 million in the Budget will =
allow the previously announced Defence Capability Plan to

- replace the two Boeing 757s to support military operations and deployment=
s, humanitarian and disaster relief support, and trade and diplomatic missi=
ons;

- replace the Seasprite maritime helicopters operating from Navy ships;=C2=
=A0

- replace the Javelin anti-armour missile system launch units with new inte=
roperable units will allow support to partner militaries and longer ranges =
to be targeted;

- supply encrypted radios to provide deployed Army units with secure voice =
communication;

- supply counter-UAS that can be set up in fixed locations and that will be=
able to disable drones/UAS that could pose a threat to personnel, aircraft=
/vehicles and infrastructure;

- progress detailed design work for the future of Devonport Naval Base; and

- invest in homes for Defence families, Defence infrastructure, modernise t=
he

Defence vehicle fleet and digital and information management projects.

The total planned spend in Budget 2025 brings the total investment in Defen=
ce to $4.2 billion for the year.

Ultimately, spending on Defence will result in economic benefits to everyda=
y New Zealanders and New Zealand businesses and it will allow us to protect=
what is ours.

The Budget for growth

The Prime Minister says that Budget 2025 is about growing the economy to he=
lp Kiwis get ahead and the Budget includes detailed plans from the Finance =
Minister about how this will be done.

We have had a tough few years, but inflation is down, and wages are growing=
and so are the number of jobs. =C2=A0NZ=E2=80=99s economy is starting to r=
ecover and growth of 2.7 per cent per year is expected on average, thanks t=
o National=E2=80=99s careful management.

We cannot take this recovery for granted, which is why a responsible Budget=
has been delivered =C2=A0that firmly focuses on growing the economy to hel=
p Kiwis get ahead.

All the best,
Judith

Hon Judith Collins KC
MP for Papakura

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