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Extra funding for budgeting services a drop in the ocean

Spokesperson Alan Johnson says, “We agree with the Social Development Minster that budgeting services are vital in helping families with their meagre finances but this a drop in the ocean given increasing demand due to low benefit levels and a rise in the numbers of working poor.  $589,000 spread amongst 155 organisations works out to less than $4000 each on average.  This is a measly amount when the government’s current welfare reform package is expected to cost $520 million.”

Child Poverty Action Group says the paltry extra funding for budgeting services announced this week will do little to relieve pressure on overstretched community groups. CPAG has noted with dismay that some budgeting services are having to lay off staff.

Spokesperson Alan Johnson says, “We agree with the Social Development Minster that budgeting services are vital in helping families with their meagre finances but this a drop in the ocean given increasing demand due to low benefit levels and a rise in the numbers of working poor.  $589,000 spread amongst 155 organisations works out to less than $4000 each on average.  This is a measly amount when the government’s current welfare reform package is expected to cost $520 million.”

CPAG says the government should recognise the valuable preventative work done by budgeting services working closely with their communities and make sure they have adequate funding.

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