This study evaluates the extent to which primary schools in a region of New Zealand are
challenged by limited funds to enable the effective management and performance of their school. The study
involved interviews with school principals and analysis of their schools’ financial statements. The aim of this
project is to gain a current understanding of the issues and challenges facing primary schools in a defined region
(Waikato) to see whether the trends identified in national research studies, confirms the problem that schools are
underfunded. The results of the current study identified the issues experienced by the Waikato schools and in most
cases supported previous research findings. The findings of the current study also suggest that schools share the
dilemmas associated with limited government funding and rely significantly on local funding sources to achieve
their basic objectives. Although schools may be effective in the management of their school objectives, there is
more government funding required to relieve the pressures and challenges.