Barry Maggie: Questions for Oral Answer — Questions to MinistersText is incorporated into the Bound VolumeBarry Maggie: Questions for Oral Answer — Questions to Ministers[Sitting date: 13 May 2014. Volume:698;Page:17737. Text is incorporated into the Bound Volume.]3.MAGGIE BARRY (National—North Shore) to theMinister of Finance: What trends are emerging in the Government’s spending and revenue and how will these be reflected in Budget forecasts on Thursday?Hon BILL ENGLISH (Minister of Finance): Last Friday Treasury released the Government’s financial statements for the 9 months to the end of March. The operating deficit before gains and losses was $1.66 billion for the 9 months which was $199 million larger than forecast in December. Core Crown expenditure was $423 million below forecast at $52 billion for the 9 months. Revenue in the 9 months was $2.6 billion higher than at the same time last year but around $800 million below forecasts in December. The Budget on Thursday will confirm that we are on track for a small surplus next year followed by increasing surpluses.Maggie Barry: What do the Crown accounts tell us about the growing economy and how will the Budget this week build on recent gains in supporting more jobs and better wages?Hon BILL ENGLISH: The Crown accounts show that although Crown tax revenue remains below that forecast by Treasury 5 months ago it is $2.6 billion higher than at this time last year or 6.3 percent reflecting a growing economy. It is the result of more taxpayers in more jobs earning higher wages. This is in line with strong recent employment market data. The Budget this week will confirm that the Government remains on track to surplus. However getting back to surplus is not the end point. We want to continue to support the strength of the economy with more people getting more hours of work in more jobs. This will help to ensure surpluses in the future.Maggie Barry: What steps is the Government taking to ensure that New Zealand families share in the gains of a growing economy and that everyone pays their fair share of tax to fund Government programmes?Hon BILL ENGLISH: The families whose members are one of the 84000 New Zealanders extra in employment compared with a year ago are benefiting from the momentum in the economy. Average weekly wages increased by 3.2 percent in the past year well ahead of inflation; 15000 New Zealanders came off welfare and into work; and 29500 fewer children are living in benefit-dependent homes compared with 2 years ago. Everyone is paying their fair share of tax. As the Prime Minister announced yesterday the Inland Revenue Department will receive $48 million in the Budget over the next 5 years to boost tax compliance. This builds on the Government’s wider programme which has allowed the Inland Revenue Department to collect more tax from the hidden economy the property sector and aggressive tax planning and fraud. So far this has increased the Government’s gross tax revenue by around $500 million over recent years.Maggie Barry: What recent statements has he seen about the improving Crown finances?Hon BILL ENGLISH: I saw some statements last Friday claiming that core Crown expenses were $423 million higher than forecast and that tax revenues are falling. These statements are actually the opposite of what is correct and I was pleased to see that asecond press release was made to correctly reference the $423 million of spending. Unfortunately the press release still got the second statement wrong by claiming that revenue had fallen. Numbers are clearly not the author’s strong suit but that was Mr Parker from the Labour Party.