Budget 2026 continues the Government’s focus on fiscal restraint across public spending and delivering public services in a sustainable way.  

There is a two percent savings across funding for arts, culture and heritage, as well as sports and recreation, which has been applied proportionately across funded agencies.  

Arts, culture and heritage 

Budget 2026 includes funding of $460.7 million for Vote Arts, Culture and Heritage in 2026/27 (or $1.7 billion over four years). Vote Arts, Culture and Heritage includes a savings package of $27 million over four years.

Funding for screen sector 

Budget 2026 provides $185.3 million over four years to secure the future of the domestic Screen Production Rebate. 

This funding addresses a long-standing pressure, as the rebate’s baseline has not met annual demand since 2017. It provides certainty for the screen sector and supports the continued development of New Zealand screen stories, industry capability, and wider economic contribution.

Changes to the domestic rebate will take effect from 1 July to support the scheme’s sustainability and better manage fiscal risk. These include: 

• removing the Additional Rebate while doubling the maximum entitlement to $12 million 
• removing the cap on qualifying ‘above the line’ costs 
• lowering the entry threshold for feature films to $1 million qualifying spend 

These changes are intended to support ambitious local productions while improving the long-term sustainability of the rebate.

Sport and recreation

Budget 2026 includes $116.7 million for Vote Sport and Recreation in 2026/27 (or $467 million over four years). 

Vote Sport and Recreation includes a savings package of $9.4 million over four years. 

This includes $8.5 million over four years from Sport New Zealand and $900,000 over four years from the Integrity Sport and Recreation Commission. 

We’re working with the sport agencies to understand how the reduction in funding will impact how they operate. The decrease should not impact statutory functions. 

Read the Vote Arts, Culture and Heritage and Vote Sport and Recreation factsheets