A former Finance Minister says cutbacks to public spending need to be seen in context. 

Finance Minister Nicola Willis has confirmed a drastic cut to the operating allowance in next month's Budget, from $2.4 billion to $1.3 billion. 

There will be no new funding for most Government departments, with the focus being on priority areas and paying off debt. 

Steven Joyce told Mike Hosking there's still scope to reduce spending. 

He says Government spending has doubled in the past eight years while inflation has only gone up about 30% in the same time.  

Joyce is also saying there's growing public appetite for more public sector restraint. 

The Government's ruling out giving most departments any additional funding in the next Budget, but Joyce says reaching that target will depend a lot on the international economy. 

However, he told Hosking there are still lots of changes that can be made to bring down government spending. 

Joyce says making those changes requires a bit of work and requires ministers having a good political radar and knowing what can't be cut. 

LISTEN ABOVE 

A former Finance Minister says cutbacks to public spending need to be seen in context.&nbsp;
Finance Minister Nicola Willis has confirmed a drastic cut to the operating allowance in next month's Budget, from $2.4 billion to $1.3 billion.&nbsp;
There will be no new funding for most Government departments, with the focus being on priority areas and paying off debt.&nbsp;
Steven Joyce told Mike Hosking there's still scope to reduce spending.&nbsp;
He says Government spending has doubled in the past eight years while inflation has only gone up about 30% in the same time. &nbsp;
Joyce is also saying there's growing public appetite for more public sector restraint.&nbsp;
The Government's ruling out giving most departments any additional funding in the next Budget, but Joyce says reaching that target will depend a lot on the international economy.&nbsp;
However, he told Hosking there are still lots of changes that can be made to bring down government spending.&nbsp;
Joyce says making those changes requires a bit of work and requires ministers having a good political radar and knowing what can't be cut.&nbsp;
LISTEN ABOVE&nbsp;

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Open your mind to the world with New Zealand’s number one breakfast radio show. Without question, as New Zealand’s number one talk host, Mike Hosking sets the day’s agenda. The sharpest voice and mind in the business, Mike drives strong opinion, delivers the best talent, and always leaves you wanting more. The Mike Hosking Breakfast always cuts through and delivers the best daily on Newstalk ZB.

Open your mind to the world with New Zealand’s number one breakfast radio show.

Without question, as New Zealand’s number one talk host, Mike Hosking sets the day’s agenda.

The sharpest voice and mind in the business, Mike drives strong opinion,...

The Mike Hosking Breakfast

Steven Joyce: Former Finance Minister on the cutbacks to public spending, the drastic cut to the operating allowance

https://api.omny.fm/orgs/7784f840-c291-422a-924b-ad9000bbad71/clips/a5239083-53c1-4d18-9abd-b2ce0152f8f6/transcript

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