Resolving Historic Abuse Claims - Budget 2023

Ensuring the Ministry of Social Development can resolve more claims of historic abuse of people while in state care - Wellbeing Budget 2023.

This initiative will enable MSD to resolve a further 1,000 claims of historic abuse of people while in the care of Child, Youth and Family (or its predecessors).

The Government is investing $58.4 million in 2023/24 to resolve 1,000 further claims of historic abuse in the care of Child, Youth and Family (or its predecessors) without claimants having to resort to civil litigation.

MSD's historic claims process helps survivors of abuse in state care have a sense of justice, validation and empowerment and helps them access the support they need through the claims process.

• MSD's Historic Claims process provides people who were abused or neglected in the care of Child, Youth and Family or its predecessors an alternative way to seek redress without the need for civil litigation through the Courts.
• This reduces the costs to the person seeking redress. Its purpose is to work directly with people to resolve their claims.
• MSD received $95.184 million in Budget 2019 and has since resolved more than 1,000 claims. Current funding covers the settlement costs of a further 800 claims.
• MSD has 2,000 more claims waiting to be resolved and expects to receive around 500 new claims each year.
• Budget 2023 funding will allow MSD to continue resolving historic claims while a new independent redress system is being established in response to recommendations on redress from the Royal Commission on Abuse in Care.
• The additional funding includes staff costs, settlements payments (including rapid payments), supports for claimants through the claims process and legal fees/legal aid for claimants.
• This funding will support both MSD's individual claims assessment process and the rapid payments process that was set up in response to the Royal Commission's recommendations. Since October 2022, over 75% of claimants who have identified their preferred settlement pathway have opted for a rapid payment.