Labour leader Chris Hipkins claims the Government's failure to compensate for the nurses’ pay rise has driven Health New Zealand's budget blowout.  

The agency's finances jumped from an expected half-a-billion dollar surplus to a $1.4 billion deficit in April.  

It's now expected to blow out to $1.76 billion.  

Chris Hipkins told John MacDonald that there's a mix of issues in the system, but under-funding's definitely playing a role in the deficits.   

He says nurses won their pay equity claim after a hard-fought battle and the Government hasn't provided the funds to pay for it, adding more financial pressure.  

The crackdown on dodgy builders however, is getting Hipkins’ support.  

The Government's looking at changes to registration and licensing regimes, with a focus on lifting competence and accountability requirements. 

Larger fines could also be on the cards for workers hiding non-compliant work during inspections. 

Hipkins says the regulatory systems for builders aren't as good as they should be. 

He says a more streamlined regime with harsher penalties for the cowboys of the industry is great. 

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