Budget 2026

Finance Minister Nicola Willis took media questions following her ANZ breakfast address, where she was asked about the prudential levy announced in the Budget.

"We're really just getting in step with the rest of the world," Willis said, saying she had looked at how taxation of banks worked here compared with other countries.

"I'm still looking at opportunities to do more," she said, reflecting on how it had been revealed on Budget Day that she had explored more options, but was unable to secure agreement with coalition partners for a greater taxation in this Budget.

"We have got to make sure the banks are being taxed fairly," Willis said, and while she would not give away a number, she said other options "would have raised more".

The prudential levy had been agreed by coalition partners, and ACT leader David Seymour was revealed on Budget Day as having resisted going further.

Willis said it wasn't over though, and "as a minister in this Government, I'm still actively considering tax and banks, and what that looks like," she said.

"I expect we will take policies to the campaign."

She explained New Zealand had "stood out for not having a prudential levy", but that was only one area.

"Commercial banks in New Zealand are our most profitable companies, and they've been profitable in the good times and the bad times too, and they stand out for that."

Asked if she thought the banks would pass the cost of the levy onto customers, she said she had been aware of that possibility, but did not think they would.

"They do not have to do that, and they should not," Willis said.