The proposed merger of Television New Zealand and Radio New Zealand has been scrapped.

Prime Minister Chris Hipkins says he is refocussing the government’s attention on so-called “bread and butter issues”.

In today’s press conference, Mr Hipkins said RNZ would be provided with additional funding, along with New Zealand On Air to provide public media content.

National and ACT have been vocal opponents to the merger, saying it would be scrapped should they come to power in this year’s election.

Private consultants working on the public media mega-merger have been on contracts worth up to almost $9000 a week.

The merger of the country’s two major public media entities, Radio New Zealand and Television New Zealand, into a new organisation, had been expected to cost $370 million.