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AAP
AAP
Politics
Ben McKay

New Zealand to end cheaper fuel and fares

New Zealand is phasing out fuel and public transport subsidies to help boost its bottom line. (Ben McKay/AAP PHOTOS) (AAP)

Jacinda Ardern's pledge to "pare back" government spending has begun, with half-price public transport fares and petrol levy cuts first on the chopping block.

However, Finance Minister Grant Robertson announced next year's budget operating allowance of $NZ4.5 billion ($A4.2 billion) would remain unchanged, leaving room for new projects in an election year.

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