Families in low-paid work with three children would have received up to $1900 more over the last two years if income support for children automatically kept up with wages, according to new research.

This morning Stats NZ released child poverty statistics for the year ended June 2019. The results show that any changes in child poverty are small and within the margin error, suggesting that nothing much may have changed.

CPAG says that putting the building blocks in place to clean up an inherited mess is a very important part of the process to achieve the targets set for poverty reduction.

CPAG calls on the coalition Government to increase welfare benefits by at least 20% immediately and index to wages like New Zealand Superannuation.

More than ever families will need financial support if job losses occur, or work hours are reduced along with spending power.

This year we are calling on policy-makers and politicians reform the welfare system so that it is fit for families in the 21st century.

Working families on low incomes have been particularly hard hit by past cuts to the income threshold from which families’ payments start to reduce.

While it has been indicated that the 1 July changes are just the start, families are desperate now, and cannot wait.

“Many working families on low wages are facing increased financial pressure as they struggle to meet housing costs, and food insecurity is a growing problem.”

By the time the Families Package comes in, families’ costs, such as rent, may have increased yet further.

More money needs to be channelled to the families currently falling below the very low 40% poverty line. There is a way to do this without creating impossible cost pressures.

Christmas is fast approaching, and charities are gearing up to support families in need, with the expectation that the numbers of people requiring financial assistance and food bank help will soar.

CPAG urges the new government to make a firm commitment to the low-income working families, by ensuring that their ability to earn extra is not compromised by higher abatement rates.

With a new government undecided, Child Poverty Action Group (CPAG) urges participants in coalition talks to prioritise child wellbeing policies.

“Right now, 14% of children in New Zealand are living in material hardship. Reducing that percentage figure by 10 points - to 4% - would mean 110,000 less children living at the extreme end of material deprivation.”

“It is worrying that so many are in hardship and that is impacting negatively on their education.”

CPAG urges all major political parties to agree to reform Working for Families as matter of top priority.

By raising core benefits and the earned income threshold at which benefits begin to abate, there is a better chance for all families on benefits to begin to get ahead and to work their way toward financial independence.

While both National and Labour policies will reduce child poverty a little, this is not the big boost that is needed.

"For ten years we have argued that WFF is a flawed programme in its design and we have been especially alarmed at the silent erosion under National’s policies since 2010."

The upcoming election provides an opportunity for all political parties to put the wellbeing of all New Zealand’s children at the centre of their policies.

These cuts have affected families in low-paid, full-time work and are quite contrary to Bill English’s claim to want to look after "hard-working" New Zealanders.”

There are more than 40,000 hospital admissions of children in New Zealand every year with illnesses that often have their roots in poverty and unhealthy housing.

“It is no wonder we are seeing more low-income working parents depend on food banks and other charities for survival.”

Currently, WFF is far too complex and has been undermined through both failure of policy to index it properly, and by deliberate cuts that reduce its worth over time.