The Government is defending its level of spending over the past few years, saying much of it was out of its control.
It's cutting spending on public contractors and consultants, in a bid to return to a more sustainable fiscal position.
The Finance Minister says it'll save almost $4 billion over four years.
Prime Minister Chris Hipkins told Mike Hosking we're having to pay the economic price of severe weather events - and the pandemic.
"Supporting New Zealanders through the global pandemic has had an economic consequence - and we're still dealing with that."
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