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612 days ago

Pensioners, students, and everyone on main benefits will see their payments from the Government rise by 7.22% in line with inflation from April 1.

Brian from Mount Roskill

Prime Minister Chris Hipkins announced the changes today as part of his continuing focus on "bread and butter" priorities amid what's shaping up to be a tight election year.
He added it would "mean approximately 1.4 million New Zealanders will not go backwards" as they "feel the bite from the rise in the cost of living".
The changes announced today would apply on the same day that the Government's previously-announced childcare cost-of-living package would go into effect.
The minimum wage would also be increasing on the same day next month.
Under the changes, a couple on NZ Super would receive $103 more in total a fortnight, and a single person living alone receive an extra $67 with each payment.
Other main benefits that will see an increase include Jobseeker Support, Youth Payment, Young Parent Payment, Sole Parent Support and the Supported Living Payment.
Tertiary students receiving the student allowance will also see around $20 extra for each payment. It will also apply to student loan living cost payments.
"Working families will see increases to Working for Families, including an extra $4 for Best Start Payments taking it to $69 per week and an increase of $9 for the eldest child rate of Family Tax Credit, lifting it to $136 per week," Hipkins said.
Social Development Minister Carmel Sepuloni said the $311 million change was a "practical solution to ensure those being supported didn't fall behind."
Inflation "rose by 7.22% in the year to December, while the net average wage – against which main benefits are indexed – rose by 6.24%. The extra boost to main benefits covers the 0.98% gap," she said.
"For working-age people receiving a main benefit, they will see an increase of between $19.81 and $46.20, depending on the type of benefit and whether they are single or a couple."
Today's cost of living changes follows an increase to the minimum wage and the Government’s $718 million extension of discounts to the fuel excise duty and public transport fares until June.
Last November, former prime minister Jacinda Ardern announced the Government's $189 million package to make an additional 10,000 children eligible for childcare assistance.
"All up, the additional support above the annual general adjustment equates to an extra $311 million, this is on top of the $189 million announced for the changes to Childcare Subsidy," Hipkins said on Monday.
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