Category: MIL-OSI

Source: NZ Music Month takes to the streets

Budget 2025 changes Working for Families to better target help to low and middle-income families with children.
About 142,000 families will receive an average $14 a fortnight extra from Working for Families. The vast majority have an annual family income under $100,000.
“We want financial support to go to families that need it most. The changes in this Budget will help families with cost of living and support them to remain in work,” Social Development and Employment Minister Louise Upston says.
These changes are being delivered through changes to the abatement threshold. The abatement threshold is the income level at which Working for Families entitlements begin to reduce. 
“The current threshold has been unchanged since 2018, despite inflation and wage growth. This means the scheme has become less effective at supporting low and middle-income families,” Louise Upston says.
“Accordingly, the Government is lifting the Working for Families abatement threshold from $42,700 to $44,900 and raising the abatement rate from 27 per cent to 27.5 per cent. Families with incomes close to the new threshold will get greater additional payments – up to $23 a fortnight.
“The cost of the extra support will be met by income testing the first year of the Best Start tax credit in the same way the second and third years are, with payments starting to diminish above a family income of $79,000 and cutting off entirely when a family earns just over $97,000 a year.” 
Families of children born before 1 April 2026 won’t have their Best Start payments income tested and will continue to receive the maximum amount until their child turns one.
“We are also concerned that families are getting into Working for Families debt just because their incomes or family circumstances change unexpectedly during the year,” Revenue Minister Simon Watts says. 
“To address this, the Government is releasing a discussion document with proposals to make Working for Families payments more accurate, including using past income, over shorter periods, to calculate entitlements. We know that having debt with Inland Revenue can be distressing so we are interested in what people think of the proposals.”
The changes will take effect from 1 April 2026, following legislation to be introduced on Budget Day today.

Source: NZ Music Month takes to the streets

Budget 2025 introduces a new housing investment approach that will deliver the right houses, in the right places, for the right people, Housing Minister Chris Bishop and Associate Housing Minister Tama Potaka say.
“This Government believes in social housing. New funding of $128 million over four years will deliver at least 550 more social homes in Auckland in the 2025/26 year. That’s on top of the 1,500 new social homes funded through Budget 2024, to be delivered from 1 July 2025. 
“More than 600 of the houses funded through Budget 2024 have been allocated already through government relationships with community housing providers. 
“We’re also making it easier for the community housing sector to plan and get on with the job of housing people in need. We’re committing $82 million total for Upfront Operating Supplement payments for community housing providers in certain circumstances when contracts for new social housing are agreed. This upfront funding will help get new social homes built faster.
“The Government is also establishing Crown lending facilities of up to a total of $150 million for the Community Housing Funding Agency, to help lower the cost of borrowing for community housing providers.
“Over the last year we have looked at the bigger picture of how we invest in social and affordable housing.
“At present the Government has a confusing and often duplicative tangle of housing funds, many of which are tightly limited in what they can fund. Successive governments have added new funds over time. The system is inflexible, with investment determined by programmes with available funding rather than what is needed in a region.
“To fix this, the Government is establishing a new contestable Flexible Fund, replacing previous housing programmes like the Affordable Housing Fund, the Progressive Home Ownership Fund, and remaining Whai Kāinga Whai Oranga funding.
“The fund consists of $41 million operating funding over four years and $250 million capital funding over the next ten years for additional houses from 1 July 2027. Subject to further design work on the fund, this will enable up to 650-900 social homes and affordable rentals.
“Our intention is that the new Flexible Fund will use a variety of providers to deliver different housing types, including social houses and affordable rentals built by community housing providers, Kāinga Ora and Māori providers. 
“The new Flexible Fund is a key part of a new housing investment approach that will better target new and existing government investment to focus on particular needs in particular regions and be more effective at delivering the right types of houses. It will give us a much more granular understanding of the types of housing required – and who is best placed to deliver them.”
Associate Housing Minister Tama Potaka says the new Flexible Fund will also provide for government-subsidised affordable rentals as a permanent part of the housing system. 
“Affordable rentals allow people to pay less than the market rent in a region. They are a missing link in the social housing system. There should be an intermediate option between traditional social housing, where people usually pay 25 per cent of their income, and market rentals.
“Māori housing providers have brilliantly demonstrated the benefits of these homes in places like Rotorua and Gisborne.
“We expect that credible Māori providers and community housing providers will be eligible for investment through the Flexible Fund, particularly given their recent success in delivering quality houses.”
Decisions about the design of affordable rentals, the parameters of the Flexible Fund and how the funding will be used will be made later in 2025.
The Budget also contains a range of savings initiatives to fund cost pressures in Vote Housing and Urban Development, including making the First Home Loan Scheme cost recoverable.”

Source: NZ Music Month takes to the streets

Parents rather than the state will be responsible for unemployed 18- and 19-year-olds who cannot support themselves under planned benefit changes announced in today’s Budget. 
“The purpose of the welfare system is to support those who need it the most,” Social Development and Employment Minister Louise Upston says. 
“Our Government is taking steps to make sure work or study is the focus for young people, rather than being on welfare. 
“With this announcement, we’re clearly saying that 18- and 19-year-olds who don’t study or work and can’t support themselves financially, should be supported by their parents or guardians, not by the taxpayer.
“That’s why from July 2027, eligibility for Jobseeker Support and the Emergency Benefit will be tightened for single unemployed 18- and 19-year-olds by introducing a parental assistance test. 
“Young people can’t expect to go automatically onto a benefit, and parents must be ready to help. This change strengthens financial incentives to enter employment, education or training. 
“Recent forecasts show that people under the age of 25 on Jobseeker Support will spend an average of 18 or more years on a benefit over their lifetimes – 49 per cent longer than in 2017. 
“This is a human tragedy. We need to focus on the potential of one of New Zealand’s most powerful assets – our young people, and that’s why we are taking action.
“Our Government has already introduced more early intervention for young beneficiaries through a new phone-based employment case management service. We’ve got 2,100 more places for young people to get community job coaching, more regular work seminars, and a traffic light system to help them stay on track with their obligations.
“Young people who do require support from the Ministry of Social Development will still be able to access it. For instance, in some cases 18- or 19-year-olds may not be able to rely on parental support. If they meet all other relevant eligibility criteria, they will be able to access some supports. 
“People aged under 20 who are married, in a civil union or a de facto relationship will not be subject to a parental assistance test. 
“This Government recognises that the welfare system should be available for those that need it. However, we aren’t willing to watch young people get stuck on the benefit.
“This change will contribute to the Government’s economic growth agenda, by ensuring New Zealand has a highly skilled workforce and maximises its human capital.
“Our Government does not accept that a life on welfare is as good as it gets for our young people. We expect that our young people will be in work or training,” Louise Upston says. 
 

Source: NZ Music Month takes to the streets

The Government is again delivering record investment in healthcare, providing New Zealanders with better health services and ensuring hospitals and healthcare facilities are fit for the future, Health Minister Simeon Brown says.
“Budget 2025 provides a $7 billion increase in Vote Health operating funding over the forecast period. This includes the $1.37 billion per annum increase to Health New Zealand’s baseline – bringing total health spending in 2025/26 to $32.7 billion,” Mr Brown says.
“Budget 2025 confirms our commitment from last year’s Budget of a record investment in health over three budgets. That funding is already delivering results – more elective surgeries, GP appointments, and other critical healthcare services New Zealanders rely on.
“Other new initiatives include $91 million to increase prescription lengths and $447 million to support increased access to primary care.
“Budget 2025 also invests over $1 billion in new capital to deliver modern, fit-for-purpose infrastructure that meets the health needs of New Zealand’s growing and ageing population.
“We’re also making real progress on our health targets. Emergency department wait times are coming down, cancer patients are being seen faster, and childhood immunisation rates are improving.
“This year’s Budget builds on that momentum, with targeted investments to strengthen frontline services and improve access to GP and specialist care across the country.”
For patients, this funding will support Health New Zealand to deliver its plan for increased care for patients and will include:  

21,000 additional planned care treatments (to an estimated 343,000 treatments)
31,000 additional cancer treatments to administer new funded medicines (to over 455,000 treatments)
22,000 additional people receiving inpatient care (to an estimated 984,000 people)
50,000 additional events in emergency departments (to a projected 1,411,000 events)
231,000 additional general practice encounters (to a projected 21,824,000 encounters)
119,000 additional bed nights in the residential aged care sector (to a projected 9,717,000 bed nights, excluding psychogeriatric bed nights). 

Specific Budget 2025 initiatives include: 

Increased access to urgent and after-hours care, helping to reduce pressure on emergency departments
Expanding the primary care workforce, including training more doctors and nurses locally
24/7 access to digital primary care for online medical consultations, making it easier for people to get advice and prescriptions from their own homes
Easier access to long-term prescriptions and broader prescribing rights across the health workforce
Streamlined transfers from hospital to aged care, helping free up inpatient hospital beds and improve continuity of care
Increased funding for the Health and Disability Commissioner to improve complaint resolution and care standards
Support for a new multi-agency response to mental health distress calls
Continued investment in hospital and facility upgrades across the country, ensuring clinical environments are safe, modern, and fit for purpose. 

“We are delivering on our promise to put patients first. This additional investment of 7.4 per cent in total funding represents an increase of 6.2 per cent per capita, which will make a real difference to people’s lives – ensuring timely, high-quality care for patients while supporting our frontline workforce who deliver that care every day.“Budget 2025 reflects our commitment that all New Zealanders – no matter where they live – deserve a health system they can rely on that is focused on delivering for them, the patient,” Mr Brown says.

Source: NZ Music Month takes to the streets

New funding will give older people greater access to aged residential care and longer care outside of hospitals, Associate Health Minister Casey Costello announced today.
“We want to ensure older New Zealanders can get the treatment and care they need in the best possible place. They should not be in hospital simply because they are frail and there are limited options for their care,” Ms Costello says.
“This investment of $24 million over four years will help people, who don’t need continued hospital treatment, to move to other care places in the community, including aged residential care.”
This timely care transfer initiative was developed with the aged care sector in 2023 but had time-limited funding that ends next month. 
“This investment means current delays in discharging older people from hospital will be reduced and hospital beds will be freed up for those requiring treatment,” Ms Costello says. “It will benefit anyone needing to access hospital and specialist services.
“The new funding will enable better rehabilitation and recovery in the community – for example, providing support for older people with exceptional needs, such as bariatric care, and the extra care required for new residents with complex needs,” Ms Costello says.
“I’ve seen first-hand how Aged Care residences can provide this level of recuperative care. They are currently funded to provide these ‘hospital’ rooms, and this extra funding will support access to this care and for the transfer process to occur safely and faster.
“We are working on large-scale and long-term improvements to the aged care system, but this initiative delivers some immediate support and helps us achieve national health targets.”

Source: NZ Music Month takes to the streets

The coalition Government is taking action on New Zealand’s declining natural gas reserves and has set aside a tagged contingency of $200 million over four years for co‑investment in new gas fields, Resources Minister Shane Jones says.
The structure of investments is still being worked through, but this signals a willingness, subject to Cabinet consideration, for the Crown to take a commercial stake of up to 10-15 per cent in new gas field developments that feed the domestic market to address sovereign risk.
“Natural gas will continue to be critical in delivering secure and affordable energy for New Zealanders for at least the next 20 years. We are already feeling the pain of constrained supply,” Mr Jones says.
“We are focused on growing the New Zealand economy, creating jobs and increasing prosperity and resilience. The Government is not prepared to sit on the sidelines and watch our industrial and manufacturing dwindle because of energy security concerns.
“Developing a new offshore gas field from exploration to production can carry a billion-dollar price tag and projects of this scale are likely to need offshore investment. We have demonstrated potential for significant gas development and while investors are interested, we need to show their commitment will not be a wasted exercise.
Talk is cheap but having skin in the game as a cornerstone investor in production demonstrates our own commitment to meeting our future gas needs. We are looking to take a stake in the development of the next Pohokura, Kupe, Mangahewa or Turangi to accelerate the investment needed to support our energy system.
“If we really want to address the current reality that we rely on imported coal, not domestic gas, to get through winter we must be prepared to stand alongside our petroleum sector as a co-investor. I say to my colleagues across the political spectrum, for the sake of energy affordability and security, be pragmatic about the role of natural gas, now and in the coming decades.”

Source: NZ Music Month takes to the streets

New investment in prison capacity and frontline staff will help reduce reoffending and keep the public safe, Corrections Minister Mark Mitchell says. 
“Our Government has restored proper consequences for crime. Because of that, there has been an increase in the prison population and fewer victims of crime.
“Budget 2025 invests more than $472 million over four years to ensure Corrections can continue to safely and securely manage the growing prison population. This includes funding for 580 new frontline staff, including 368 Corrections Officers. This is additional to the 685 new frontline staff funded through last year’s Budget.
“Corrections is ready to recruit these staff through an excellent recruitment campaign that has driven more than 110,000 applications since being launched in February 2024,” Mr Mitchell says. 
“We’re also investing in safe, fit for purpose prisons including redeveloping Christchurch Men’s Prison.
“Funding through Budget 2025 will help deliver 240 new high security beds at Christchurch Men’s Prison, along with a new Health Centre and Intervention and Support Unit containing 52 beds. 
“Phase 1 of the redevelopment will be designed, built, financed, and maintained for 25 years under a public private partnership. Corrections will retain responsibility for operations and custodial management of the facility.
“The new Intervention and Support Unit will provide dedicated specialist mental health support to prisoners who are at risk of harming themselves or others. This unit will be safer for staff and help prisoners with their mental health needs, preparing them to successfully take part in rehabilitation programmes.
“Our investment will ensure Corrections can meet other cost pressures due to the increase in prisoners and inflation.
“We’re investing in the frontline because we are serious about bringing back law and order and creating a safer New Zealand.”

Source: NZ Music Month takes to the streets

Initiatives to help serious and persistent young offenders turn their lives around, and improvements to facilities for them, have been given a significant financial boost in Budget 2025. 
Building on the successes that have already led to a 13 per cent reduction in young people with serious and persistent offending behaviour (a key Government target), more than $103 million is being invested over four years in upgrading facilities and funding ways to address recidivism amongst young people.
“This investment will have a real impact on these young people and their whānau. It will also ensure our communities are safer, both immediately and in the future”, Minister for Children Karen Chhour says.
“This Government’s efforts to keep the public safe and reform young offenders is already bearing fruit. The Budget ensures we can continue this important work.”
The funded initiatives over four years include: 

$22 million for repairs and upgrades to Oranga Tamariki residences
$16 million to implement the new legislative regime for Young Serious Offenders, as proposed by the Oranga Tamariki (Responding to Serious Youth Offending) Amendment Bill
$33 million in safety and quality improvements to the facilities at youth justice residences
$33 million for the operation of military style academies and transitional support for young serious offenders. 

“Sometimes all it takes to improve the lives of an entire whānau is supporting one young person to make better choices.
“We continue to want better for, and from, these young people. This is not just an investment in facilities, it is an investment in them,” Mrs Chhour says.

Source: NZ Music Month takes to the streets

Diversity and choice in New Zealand’s schooling system will be supported by increasing funding for independent (private) school subsidies, Associate Education Minister David Seymour says.
Budget 2025 will invest $15.7 million over four years to increase the subsidy available for independent schools. This increases the yearly funding for independent schools by 11 percent, from $41.6 million to $46.2 million.
“Independent schools are an important part of New Zealand’s education landscape, offering diversity and choice to parents. If parents want to send their children to independent schools, they should be able to,” Mr Seymour says. 
“Often parents are making big sacrifices because they would prefer to send their child to an independent school. They pay just as much tax as anyone else, yet the money that comes back for their kids’ education has effectively been getting smaller over the last 15 years. 
“In 2010 the Government said that it was appropriate to fund the independent school sector $41.6 million per year to divide between schools based on their roll size. 15 years later, that amount is still the same. In 2010, there were around 27,600 students enrolled in independent schools. This grew to over 33,000 in 2024.
“Inflation and costs for schools have increased, and independent school enrolments have grown. This means schools receive funding that is worth significantly less than they need. For example, independent schools pay more in GST than they receive in funding.  
“Alongside an increase to total funding, I am making changes so that funding for independent school subsidies will automatically be considered annually to accommodate roll growth. This will mean independent school funding increases will work the same way as any other school.
“Independent schools are a crucial part of the education system. The sector has been seeking changes to ensure they can continue to support students. This funding addresses key issues they have raised and gives independent schools support that is long overdue.”