28 Apr 2023

Economist says 2023 Budget will be a difficult balancing act

From Morning Report, 6:47 am on 28 April 2023
Prime Minister Chris Hipkins answers media questions after a pre-Budget speech at the Employers and Manufacturers Association offices in West Auckland on 27 April 2023.

Prime Minister Chris Hipkins answers media questions after a pre-Budget speech at the Employers and Manufacturers Association offices in West Auckland on 27 April 2023. Photo: RNZ / Jane Patterson

An economist is calling this year's Budget a difficult balancing act between funding the cyclone recovery and curbing spending to help bring down inflation.

Prime Minister Chris Hipkins described next month's Budget as a "no frills" affair with no major tax changes in a speech in Auckland yesterday.

Economist Cameron Bagrie says it's a sensible approach, but far from straight forward.

RNZ political reporter Anneke Smith has more.