(Adds detail) OSLO, Aug 25 (Reuters) - Norway should cut public spending next year to reduce the reliance on cash from its sovereign wealth fund, the prime minister and the finance minister said at the start of a two-day budget conference on Wednesday. The Conservative-led minority coalition government has spent record amounts from the $1.4 trillion fund in 2020 and 2021 to combat the economic impact from the COVID-19 pandemic. The government of Prime Minister Erna Solberg is lagging the centre-left opposition in opinion polls ahead of an election for parliament next month. Still, it must present a spending framework for 2022, even if it loses power. “We will cut much of the extraordinary spending we’ve relied on during the last two years,” Solberg told a news conference. “The overall picture is that the Norwegian economy is doing very well,” she said. If the centre-left Labour Party wins, as polls suggest it could, it would take office in October, leaving just a few weeks to make adjustments to the original spending plan before a vote in the new parliament. In May, the finance ministry said 2021 spending would likely amount to 3.7% of the overall size of the wealth fund, exceeding parliament’s long-term guidance of spending no more than 3.0% in any given year. On Wednesday, Finance Minister Jan Tore Sanner told broadcaster NRK the government should spend less than 3% of the fund’s total value in 2022. (Reporting by Terje Solsvik, editing by Gwladys Fouche) Our Standards: The Thomson Reuters Trust Principles.