Mana Āki report offers critical insight into poverty in NZ

Child Poverty Action Group (CPAG) says today’s Mana Āki – Dignity For All report, released by the Citizens’ Advice Bureau (CAB), offers critical insight into the tough daily circumstances more New Zealanders are finding themselves in.

In particular, its finding that Income inadequacy is a primary driver of financial stress is echoed by our ‘Below the Income Floor’ research, released in July, showing stagnant income support is insufficient for an increasing number of families.

Inadequate incomes leave many CAB many clients unable to afford food, housing, utilities, or medical care.

We are deeply concerned to hear the example of Tegan, who was told by Work and Income that if money is tight, he should cancel his car and content insurance, as well as Anya, who was forced to make a KiwiSaver hardship withdrawal to repairs for the car she owns and lives in.

“Our modelling shows that New Zealand is seriously failing low-income families. They continue to be locked in poverty and unable to break through the constraints of the income floor”, said CPAG Research and Programmes Officer Dr Yu (Harry) Shi.

Our research has also found that income support and the minimum wage have not kept pace with rising living costs, and that improvements achieved following the 2021 Wellbeing Budget have been reversed.

“The income floor is rising and families are being pushed under it by increasing rents, food costs and stagnant supports. Without urgent action, more children will grow up locked out of the opportunities every New Zealander deserves.”

“CAB’s report today puts the voices of real New Zealanders behind the hardship statistics we’ve watched climb in recent years.”

The report offers the following eight actionable insights:

1.        Improve Income Adequacy

2.        Prioritise Food and Utilities Security

3.        Address Work and Income Debt and Financial Stress

4.        Strengthen Housing Security

5.        Improve Client – Work and Income Communication and Case Management

6.        Tackle Administrative and Systemic Barriers

7.        Review Sanctions and Compliance Systems

8.        Invest in Budgeting and Advocacy Services

CPAG has repeatedly joined calls with CAB for these points to be actioned through the Fairer Futures collaboration.

Heading into an election year, CPAG calls on all political parties to read through Mana Āki – Dignity For Allreport thoroughly, and build policy which offer relief to Kiwis who’ve had it far too hard for far too long. New Zealanders should not be expected to wait another electoral cycle for meaningful change.