Wellbeing Budget 2022

17 May 2022.

Budget 2022 builds on previous investments to provide more support for New Zealanders on low incomes, lift more children out of poverty, reform the welfare system, improve the lives of disabled people and support more people into work and training.

Budget 2022 continues to support MSD’s efforts to help low-income New Zealanders, whether on benefit or working, as we recover from the impacts of COVID-19.

Pre-Budget announcements have included funding for employment and industry training (including Mana in Mahi, the Māori Trades and Training Fund and Apprenticeship Boost), supporting people to get driver licences, and preventing and responding to family violence and sexual violence.

Budget 2022 supports the Government’s Welfare Overhaul, the establishment and operation of the new Ministry for Disabled People, and investment in partnerships, e.g. with Māori, that support locally led, regionally enabled and nationally supported solutions, provides more help for people with serious housing needs, and provides more support for older New Zealanders and youth, and Crown Entities that support our tamariki.

Key initiatives are outlined below.

Welfare Overhaul and supporting low income New Zealanders

Passing Child Support payments directly on to sole parents, from July 2023, which will increase the incomes of around 41,550 sole parents by a median of $24 per week and lift up to 14,000 children out of poverty – $354.266 million over 5 years.

Permanently increasing income limits to eligibility for hardship assistance – $55.981 million over 4 years.

Providing more support for immediate and essential dental treatment for low income New Zealanders, and removing the requirement that the problem be due to an emergency – $125.804 million over 4 years.

Helping MSD to more effectively manage the growing Public Housing Register and better support clients with serious housing needs – $11.725 million over 4 years.

Transforming the lives of disabled New Zealanders

Establishing and operating the new Ministry for Disabled People to realise a true partnership between the disability community and government and help drive ongoing transformation across government with, and for, disabled people – $107.859 million over 4 years.

Increased funding for community-based services for disabled people to support disabled people to participate in and contribute to their wider community – $11.0 million over 4 years.

Creating better options for disabled people and their whānau by extending Enabling Good Lives through the Ministry for Disabled People – $100 million over 4 years.

Ensuring the new Ministry for Disabled People can continue existing services and develop and deliver the future services that disabled New Zealanders need – $735 million over 5 years.

Investing in partnerships

Continuing to support Building Financial Capability providers who work with individuals and whānau to improve their financial capability and reduce their risk of financial hardship – $21 million over 2 years.

Strengthening the capability of the social services sector through work with social sector peak bodies and other collectives – $4 million over 2 years.

Supporting Crown-Māori partnerships that seek to realise the aspirations of iwi, hapū and whānau, and iwi and Māori-led wellbeing through:

  • Te Hiku o te Ika Social Accord – $6 million over 4 years
  • He Tapuae: Tūhoe Service Management Plan – $3 million over 3 years
  • Implementing other iwi relationship agreements – $1 million over 2 years

Continuing to support the Kāinga Whānau Ora Crown-Māori initiative delivering integrated housing, education and social services in Palmerston North and Whanganui – $2.4 million over 1 year.

Establishing a hub to provide central support for more consistent commissioning practice across the social sector – $2 million over 2 years.

Supporting older New Zealanders

Implementing the Better Later Life – He Oranga Kaumātua strategy and its Action Plan He Mahere Hohenga to support older New Zealanders through supporting digital inclusion, senior entrepreneurship and shared housing – $3.103 million over 4 years.

Supporting youth

The Budget includes more funding for youth development services, as previously announced by the Minister for Youth on 13 May – $15 million over 4 years.

Crown entity initiatives

Supporting the Office of the Children’s Commissioner to meet its statutory obligations and deal with extra costs associated with transitioning into the Children and Young People’s Commission later in 2022– $1.64 million over 1 year.

Supporting Oranga Tamariki to increase the quality of its social workers’ practice through additional staffing for the Social Workers Registration Board – $1.528 million over 2 years.

Pre-Budget announcements

Growing family violence prevention by continuing to invest in innovative community-led and national social change initiatives that will work together to reduce factors that cause harm and enhance the factors that support wellbeing – $37.625 million over 3 years.

Continuing Family Violence Coordination services – $6 million over 2 years.

Improving access to driver licences for better employment, wellbeing and safety outcomes – $86.486 million over 4 years.

Supporting more at-risk jobseekers through Mana in Mahi – $10.908 million over 2 years.

Delivering employment training for Māori through the Mäori Trades and Training Fund – $66.202 million over 4 years.

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