Nelson Hospital has been allocated funds over the next four years to progress the hotly-debated upgrade, but exactly how much is unclear.
The government announced in its Budget 2025 that it will spend $1b on health infrastructure that will include money for Nelson Hospital, Wellington's Emergency Department and upgrading Auckland hospitals.
The Budget specifies that funding is provided for 'Project Two' of the Nelson Hospital Redevelopment Programme.
It will address the "significant capacity deficit resulting from a growing population, the poor seismic resilience of key buildings, and outdated care delivery". Project two would also see construction of construction of a new inpatient building and "essential infrastructure".
However, residents are still in the dark about exactly how much the Government has committed, with figures "withheld due to commercial sensitivities".
“Budget 2025 funds a major redevelopment of Nelson Hospital. This will deliver a new inpatient building with more beds to meet population growth. The hospital’s two main buildings will be refurbished, and essential services will be upgraded," Health Minister Simeon Brown says.
“Nelson’s new 128-bed inpatient building – 41 more beds than current capacity – is expected to be built by 2029, two years earlier than planned. The hospital’s two main buildings will be refurbished and seismically strengthened, and a new Energy Centre will house critical infrastructure.
“The $73 million design and enabling works for the new hospital are already well underway, and the $11 million emergency department expansion is expected to be completed by early 2026,” he says.
It is also unclear whether there has been money allocated to progress the Hope Bypass.
The amount the government adds to Kiwisaver accounts is being halved to 25c for every dollar savers deposit, to a maximum $261 a year.
However, the minimum contribution will go up from the current 3 per cent of wages to 4 per cent in two steps over the next three years.
People earning more than $180,000 a year will receive no government contribution at all from July.
But, 16 and 17-year-olds will start getting government contributions in July (they're currently excluded), and requirements for employers to match their deposits will kick in next year.
It's been labelled the tightest budget in decades by RNZ, with new spending cut from $2.4b to just $1.3b.
Most government departments have received no extra funding this year, meaning they will have to absorb any increases in costs, including wages.
Health, education, law and order and defence are the main exceptions.
As teased, the Budget includes some targeted cost-of-living support through an increase to Working for Families abatement thresholds and rates.
The changes are expected to deliver an extra $14 a fortnight on average to about 142,000 families, most earning less than $100,000 a year.
The SuperGold card rates rebate will also be slightly expanded to provide more support for up to 66,000 more retirees. A new income abatement threshold is being added and the maximum rebate lifted from $790 to $805.
With RNZ
