Education expenditure and funding New Zealand's proportion of gross domestic product spent on education was 5.3 percent in 1996, above the OECD average of 4.9 percent. A universal funding formula forms the basis for direct funding subsidies of chartered early childhood services. Services can claim funding for a maximum of six hours per childplace day, with a limit of 30 hours per week. School funding Compulsory schooling in New Zealand is funded by the government to varying degrees, depending on the type of school. Each state school is given a grant for operating costs and the board of trustees is responsible for making sure that the school is properly maintained.
Expenditure is controlled by each school's board of trustees.
Financial management of the schools is subject to review and audit by the Audit Office. Education management and attainment is reviewed by the Education Review Office. Funds are also available for special education, school boarding bursaries and the school transport system. These funded places are provided in bulk by the government in advance of the funding year. The funding is inclusive of capital works.