Stephanie Worsop: All eyes will be on Budget 2020

Finance Minister Grant Robertson has a hard Budget ahead of him. Photo / File

COMMENT

I do not envy the job of the Government at Budget time.

Every year the Finance Minister is tasked with doling out a set amount of money to all the sectors that keep the country running.

And every year, those working on the frontlines of each sector tell us why they need that extra funding more than others.

They all make legitimate arguments, which is what makes the Budget such a difficult task; there is never enough money to cover every need in society.

There will always be winners and losers but that's just the job of the Government when the Budget rolls around.

This year is no different in that all areas of society need a boost.

But unlike in previous years, our Government has had to borrow billions of dollars in the lead up to the Budget to support people through a global pandemic that caught many countries by surprise.

The business sector received an unprecedented boost to keep the economy afloat during lockdown and is set to get more when the Budget is announced today.The Government has already announced the biggest ever increase in funding for district health boards.

But what will be left for welfare, education, justice, police and every other sector that has featured highly in past Budgets?

We already know the huge levels of debt we have incurred as a country as a result of our response to Covid-19 will have to be paid off for generations.

I think most Kiwis understand that and support our Government for the difficult choices it had to make.

But we are also now staring down the barrel of a global recession that economists say will make the Global Financial Crisis look like a mere hiccup.

In my opinion, today's Budget is not the time for the Government to double down and throw money out like a lolly scramble.

Each year, the Government spends more in its Budget than the previous year but now is the time for frugality.

Yes, sectors will miss out, belts will tighten and people will struggle. It's inevitable.

But there is a bigger picture. We don't want to burden our children and their children with more debt than we already have.

While there will be people like me who will argue for sensible spending, there will be others who say now is exactly the right time to correct years of underfunding to numerous sectors.

The Government won't please everybody with today's Budget. That's the same with every Budget, every year.

But this year, more eyes will be on Grant Robertson because no matter what path he takes, the implications will be felt for decades to come.