How Budget 2021 contributes to improving wellbeing
In taking a wellbeing approach we aim to improve New Zealanders' living standards by tackling long-term challenges and ensuring what matters to New Zealanders drives Government decision-making. Within this context, this Government has five enduring wellbeing objectives. As required by the amendment made to the Public Finance Act 1989 (PFA) these wellbeing objectives underpinned our Budget decisions. These objectives inform our investment decisions by providing a long-term wellbeing focus to our spending decisions. This Budget makes a strong contribution to all five of these objectives:
|Enduring Wellbeing Objective||Budget 2021 contribution|
|Just Transition - Supporting the transition to a climate-resilient, sustainable and low-emissions economy, while building back from COVID-19.||Setting New Zealand up for success in reducing emissions by funding transitions in areas such as transport, agricultural research, and increasing our commitment to New Zealand Green Investment Finance (NZGIF) to better mitigate the impacts of climate change.|
|Future of Work - Enabling all New Zealanders and New Zealand businesses to benefit from new technologies and lift productivity and wages through innovation and support into employment those most affected by COVID-19, including women and young people.||We also continue to invest heavily in education, skills and training to build back better. For example, by providing a digital skills programme and training support so industries, businesses and workers have the skills they need to succeed in an increasingly evolving digital environment.|
|Physical and Mental Wellbeing - Supporting improved health outcomes for all New Zealanders and keeping COVID-19 out of our communities.||Continuing to strengthen the health system to deliver the evolving needs of the population through addressing pressures in, and reforming, the health and disability system.|
|Māori and Pacific - Lifting Māori and Pacific incomes, skills and opportunities, and combatting the impacts of COVID-19.||Supporting Māori and Pacific peoples, particularly in housing and health, to develop solutions that are driven by Māori and Pacific communities.|
|Child Wellbeing - Reducing child poverty and improving child wellbeing.||Supporting families and whānau to provide the essentials needed to support their children's wellbeing through income support measures and supporting more families and whānau into warm, dry housing.|
The wellbeing objectives were selected using a collaborative and evidence-based approach, combining evidence from the Treasury's Living Standards Framework with advice from sector experts and the Government's chief science advisors.
Because these wellbeing objectives are aimed at tackling long-term challenges facing Aotearoa New Zealand, they are intentionally similar to the priorities of our 2019 and 2020 Wellbeing Budgets. Achieving these objectives requires sustained investment across multiple Wellbeing Budgets.