Health Expenditure Trends in New Zealand 1992–2003

Date of publication: October 2005

HP 4169

This document reports on health and disability expenditure in New Zealand during 2002/03 and provides information on expenditure trends for the period 1992–2003.

Expenditure data is provided both inclusive and exclusive of ‘non-health’ items transferred from social agencies to Vote Health.

The main focus of this report is on the expenditure series that excludes ‘non-health’ items. In this area, key statistics for 2002/03 include the following.

• Total nominal health and disability expenditure rose 4.5% during the year to $11,159 million. Publicly funded expenditure was up 5.1% and private spending increased 2.3%. Within the latter, private health insurance expenditure was up 4.6% to $640.6 million; private household spending grew 1.5% to $1,741 million. Expenditure by the not-for-profit sector was $36.6 million.

• New Zealand’s total health expenditure as a percentage of Gross Domestic Product (GDP) was 8.7%, the same percentage as the previous year. When the funding for ‘non-health’ items (mostly disability support activities) is included, the proportion increases to 9.1% in 2002/03 (9.2% in 2001/02).

• New Zealand’s publicly funded health expenditure, as a percentage of GDP was 6.8% in 2002/03. When the funding for ‘non-health’ items included in Vote Health is added, the proportion of publicly funded health and disability spending to GDP rises to 7.3%.

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