But the annual report shows the public broadcaster has also reported a net deficit of $1.3m against a budgeted surplus of $4.96m for the 12 months to June 30, 2025.

In its financial notes to the annual report, RNZ states that “the variance was largely driven by timing matters and prudent operational choices”, including, principally, the delayed sale of Titahi Bay land in Wellington and slightly higher personnel costs because of lower-than-budgeted annual leave taken by staff.

It appears very little of this is washing with Treasury officials, who are pushing for increased focus on the public broadcaster, according to a document released under the Official Information Act.

The document shows Treasury officials specifically recommend that, at regular meetings, ministers seek “an assessment from the RNZ Chair on how RNZ is responding to your expectations, and assurance that management is being held to account”.

The Government in May slashed RNZ’s budget by almost $5 million a year for the next four years, and the public broadcaster undertook a voluntary redundancy programme in the weeks following.

“Despite funding increases in recent years, RNZ generated a net deficit in FY25,” said the Treasury report dated September 16, and addressed to Media and Communications Minister Paul Goldsmith, Finance Minister Nicola Willis and Associate Finance Minister David Seymour.

“RNZ needs to deliver its operations more efficiently, including right sizing, so it does not rely on cash reserves and the sale of land to fund operations.

“While some cost reduction initiatives are being implemented, further savings need to be identified and realised.”

According to its annual report, RNZ has 361 staff as of June 30, 2025, up from 347 in 2024 and 309 in 2023.

RNZ has been approached for comment, including its very latest staff numbers and the outcome of its cost-savings plan earlier this year.

Treasury notes for the year ended June 30: “Operating costs increased 16% year on year (YoY), with continued increases in personnel costs, FTEs, and production and distribution costs.

“Cash and cash equivalents of $18.8m are above budget by $10m, with $8m of this due to term deposits having matured. We understand much of this balance is committed to upcoming capital investment. We have requested a three-year capital expenditure plan from RNZ.”

The Treasury report refers to RNZ’s overall audience increases, driven by strong digital audience growth.

“However, RNZ’s live radio audience has declined over time,” says the Treasury report, written before last week’s latest ratings survey, which showed RNZ had enjoyed an increase in radio listenership.

“Significant work is required to progress RNZ’s audio plan and its AM transmission strategy, while it continues to maintain legacy infrastructure and invest in digital capability and performance,” says Treasury.

RNZ is undertaking a major review of its audio endeavours under recently appointed chief audio officer Pip Keane.

Among those changes, it is expected to shortly announce a new host of its flagship show Morning Report.

Trust levels increase

RNZ has highlighted rising public trust levels in the organisation, according to an annual survey that it commissions.

According to the “RNZ Value Indices”, run by Verian, 58% of people now consider RNZ an organisation they can trust, up from 49%. The organisation also sits atop AUT’s annual trust in media survey.

“This is very encouraging but there is still work to do: trust in media has been shaken globally and it is incumbent on public media, in particular, to address this,” says RNZ chair Jim Mather in the annual report.

“If our news service, for example, is not trusted, the crucial role of public media is weakened.”

He also referred to the company’s radio listenership.

“Another area the board has prioritised is RNZ’s radio offering. Our digital audiences continue to grow but over the reporting year, the RNZ National audience showed signs of softening. How we serve our loyal radio audience is receiving a renewed focus.”

RNZ chief executive Paul Thompson states in the annual report that “maintaining and building public trust will be our priority”, but he also sounds a general warning.

“Media organisations are again at the crossroads of dramatic technology upheavals. AI alone will have implications for what media we consume and the way we consume it. And the speed of change is only increasing. We will need to keep pace with audiences as they find new ways to engage with content and seek out material they trust.

Editor-at-Large Shayne Currie is one of New Zealand’s most experienced senior journalists and media leaders. He has held executive and senior editorial roles at NZME including Managing Editor, NZ Herald Editor and Herald on Sunday Editor and has a small shareholding in NZME.