30 May, 2025

Te Raranga Kaupapa Here – Haratua

The May edition of our Weaving Policy Newsletter
Haratua | May

Our monthly newsletter serves as a platform to connect the mahi of our team with insights from our policy groups, wider membership, and sector relationships. Through this lens, we aim to highlight how these combined efforts shape policy and influence decision-making.Each issue is structured around our four primary focus areas:
Tō Tātou Rāngai | Our Sector
Ōritetanga me te whakaurunga | Equity & Inclusion
Kaumātua | Older People 
Tamariki | Children 

In the Kaumātua, Tamariki, and Ōritetanga me te whakaurunga sections, updates will align with the following themes:
Threads in Action: Current Highlights. Key updates on impactful initiatives and accomplishments relevant to our members and sector.
Weaving New Patterns: What Lies Ahead. A preview of upcoming projects and areas for potential engagement.
Interwoven Impacts: Reflecting on Influence. Insight into how past work has contributed to broader sector outcomes.As always, we welcome your feedback and thank you for your continued commitment to this work.

The New Zealand Council of Christian Social Services acknowledges the election and inauguration of Pope Leo XIV.
Pope Leo XIV is the first American to fill the role of Pope and has a long history of working in Latin America. The legacy of the name Leo includes a social justice focus on preventing conflict and advocating for workers rights. Pope Leo XIV has already been vocal in calling for peace in the Ukraine and an urgent ceasefire in Gaza.  
We join with our Catholic members in the hope that these values will continue to be central to the church and to wider society.




Budget Month and more

The last month has been a busy one for the New Zealand Council of Christian Social Services (NZCCSS)  

We called on the Government to urgently repeal the Pay Equity Amendment Bill 2025 and restore pay equity processes for those in female dominated care industries on behalf of our membership in an open letter to the Prime Minister co-signed by 20 of our members  

We attended the launch of the Social Investment Fund to hear how the Government is looking to reshape the relationship between community and government to better reach families in need  

We hosted the Deputy Chief Executive from Oranga Tamariki at our Child and Families Policy Group to hear how Oranga Tamariki will be contracting social services in the wake of the Office of the Auditor-General reports.   

We organised our first Aged Care Post Budget online panel, attended by around 60 people and with a dynamic panel of speakers.  

We hosted an event in New Plymouth with Institute for Democratic and Economic Analysis (I.D.E.A) to host a preview of their research focused on supporting people from welfare into paid work. 


On top of that, NZCCSS Chief Executive, Alicia Sudden, was invited to attend the official Budget Day lock-up alongside financial commentators, media and other key organisations. This gave NZCCSS time to read and review the Budget in advance of its launch and ensure we could provide a briefing to all members at 2pm on Budget Day.  If you are a member and did not receive this update, please get in contact with us at [email protected] to ensure we have your correct contact details.  

Worryingly, according to the Child Poverty Budget report, Budget 2025 will continue to leave thousands of children in poverty. You can read more about our concerns for Budget 2025 in our press release: https://nzccss.org.nz/press-release/budget-2025-fails-to-shift-the-dial-on-child-poverty/ which was featured on One News: https://www.1news.co.nz/2025/05/25/govt-committed-to-2028-child-poverty-target-despite-forecast-willis/.


 

Equity and Inclusion Budget Breakdown

Social sector providers:  
Budget 2025 includes a mix of small cuts and some funding increases. It did not include some of the larger funding cuts seen in Budget 2024. However, outside of Disability Support Services, a lack of cost pressure funding means that funding for social services is going backwards in real terms.  
We were pleased to see that a tax on charities was not included in this Budget. We understand this may still on the Government’s agenda and will be keeping an eye on it. 
Social service providers will be impacted by the Kiwisaver changes- employer default Kiwisaver contributions will increase to 3.5% 1 April 2026, then 4% 1 April 2028. Without further investment this puts extra pressure on providers and wages for kaimahi.  

Social Development: 
Automated decision making is a significant cost saving for the Ministry of Social Development with $255.9 million saved over four years. These savings include reduction in the amount of hardship assistance paid out due to the change in process.  
The area boundaries of the Accommodation Supplement will be adjusted with an investment of $17.4 mil over four years, however this is offset by reducing access to support for home owners. 
We are pleased to see that there is $15 million to extend investment into foodbank infrastructure and food security for another year. This is still noted to be time limit with demand anticipated to reduce in future years apparently “as economic conditions improve” according to the Budget document. 
The training programme Māori Trades and Training has come to an end. Previous data from 2022 on the programme found that over two years it had funded 17 Māori training and employment providers to design and deliver employment-focussed training programmes for 813 people with 254 participating in training. 18- and 19-year-old Jobseekers will be income tested not only based on their income but based on their parents’ income. 

Housing: 
Contracted emergency housing by the Ministry of Housing and Urban Development (separate to Emergency Housing Grants) will end in December 2025 and this is anticipated to save $86.8 million For Emergency Housing Grants, it is anticipated that there will be over $1 billion saved from this spend over five years. This is based on forecasting from the changes that occurred in Budget 2024.   

See also  Hui-E Budget commentary  SSPA Te Pai Ora Budget commentary 

Threads in Action: The Value of Community Mahi
Pay Equity 
We are disappointed with the Pay Equity law changes which were rushed through without an opportunity for public input. This decision scraps the years of work on 33 active pay equity claims, amounting to a $12.8 billion cut. Social service staff, aged care workers and other underpaid kaimahi deserve to be paid fairly and have the value of their mahi recognised.  
See our Open Letter to Ministers alongside members from our sector for more on this matter.   

Social investment (pre-budget announcement) 
NZCCSS was invited to attend the pre-Budget launch of the Social Investment Fund. We welcome the fund and support an approach to social investment that thinks long term, values evidence and focuses on outcomes rather than outputs. See our Media Release. 
Alongside, Te Pai Ora SSPA and Ngāti Pāoa, NZCCSS will be co-hosting a webinar with the Social Investment Agency at 10.30am on 10 June to provide an opportunity for providers to better understand the fund. Invitations for NZCCSS members will be emailed soon. 




Kaumātua Budget Breakdown

$24 million over four years to support with transfers of older people from hospital care to community care  Further support for rates rebate relief for older people.

Supergold card holders earning only Superannuation who have rates higher than $2000 will be eligible for the full rebate. Older People were underrepresented and underprioritized in this Budget, as they have been in the ones that preceded it.

While we welcome the increase in funding to aid with the barrier to transport that older people often face when leaving hospital to return to community or home care, further investment is also needed for not-for-profit aged residential care homes for them to be transported to.

Rates rebates for older people will be a welcome alleviation for those who can receive them. However, it does nothing for those who are renting into retirement, and who will see no policy to protect their certainty of tenure nor control of their rental prices.


Threads in Action: Budget 2025 and the Aged Care Sector Panel
Last Friday we were thrilled to host the inaugural post-Budget panel focusing on Aged Care. We were joined by: 
– Catherine Hall, Chief Executive of Alzheimers New Zealand 
– Jill Hawkey, Executive Director of the Christchurch Methodist Mission, who run Whare Tiaki 
– Malia Hamani, QSM, Chief Executive of TOA Pacific 
– Hon. Tracey Martin, Chief Executive of Aged Care Association NZ Commencing with opening remarks by Carolyn Cooper, the Aged Care Commissioner, our Kaiwhakahaere Matua, Alicia Sudden, led our panellists through an hour-long discussion that outlined their thoughts on the budget and its impact on providers and older people, and the opportunities they saw for the sector.
While there was some evident frustration about the budget and its lack of prioritisation of our kaumātua, our panellists shared their confidence in our sector and the work that they and their colleagues are doing to make things better.  Due to an unfortunate technical issue, we are unable to share the recording of this session with you but hope that those of you who were able to attend found it valuable, insightful and engaging.  

Weaving New Patterns: Retirement Policy still up for discussion
A reminder to have your thoughts heard about the Retirement Income Policy submission taking place through Te Ara Ahunga Ora | Retirement Commission. With the question of eligibility and means-testing for superannuation being bandied about once more in political spaces, with National stating that increasing the age is still on the agenda, it is important to have your voice heard in this space. If you need support writing a submission, check out our ‘Guide to Government’ instalment all about them.  



Tamariki Budget Breakdown
Child Poverty 
Budget 2025 forecasts indicate that the initiatives in Budget 2025 are expected to have very little impact on child poverty rates between now and 2028. Working for Families (changes detailed below) and Accommodation supplement area boundary changes are the primary initiatives in the Budget that relate to child poverty rates. You can find the Child Poverty Budget Report and forecasts here 
Changes to Working for Families 
The Working for Families abatement threshold has been lifted from $42.7K to $44.9K. This will mean more families have access to the full Working for Families payment levels. It is worth noting that this threshold is still below the estimated income of a family that works 40 hours a week on minimum wage. It is estimated that 142,000 families will be better off by an average of $14 per week.
However this comes at a cost. 
Best Start, a payment to support new parents,  will no longer be univeral and will abate in its first year at the same rate as years 2 and 3. This means households with earnings of $97K will no longer receive a payment in the first year of their babies life from 1 April 2026 onwards. Around 61,000 families will be worse off once these changes are implemented, with 53,000 of these families losing out on Best Start entirely.  
Oranga Tamariki  
We are pleased to see that Budget ‘25 identifies no new savings within Oranga Tamariki social service contracting beyond those allowed for in Budget ‘24. Vote Oranga Tamariki also provides funding for the implementation of the Young Serious Offenders legislation and the continuation of the Military Style Academies. See more information on this in our Interwoven Impacts section below. 
Education
Learning Support package which includes: $43 million for an extra 78.5 FTE speech language therapists, as well as additional psychologists and supporting teacher aide hours to help meet the growing demand of students with communication and behaviour needs. This will provide specialist supports to around 2500 students over the next four years. $3 million of investment in our teacher aides with targeted professional development for working with learners with social, emotional, wellbeing, behavioural, and neurodiverse needs. 
Sport & Recreation
A reduction of 25% of government’s investment in the Tū Manawa Fund, which provides funding for the delivery of play, active recreation and sport activities for children and young people aged 5-18 years.  


Threads in Action: I.D.E.A in Taranaki
NZCCSS was pleased to partner with the Institute for Democratic and Economic Analysis (I.D.E.A) to host a preview of IDEA’s research focused on supporting people from welfare into paid work. The preview was held in New Plymouth on Saturday 24th May and explored what Aotearoa does to support people into work, and where there are opportunities to transform that support to better meet the needs of those seeking to secure and retain employment.  
 
While in New Plymouth CEO Alicia Sudden and Senior Policy Analyst Melanie Wilson enjoyed connecting with local member organisations including:
The Family Works New Plymouth Non-Violence Programme Team
Bishop’s Action Foundation
Manna Youth Home
Salvation Army New Plymouth


Alicia Sudden – NZCCSS CEO, Rachel Thorpe- Manna Leadership Team, & Melanie Wilson – NZCCSS Senior Policy Analyst at Manna Youth Home in Taranaki

Weaving New Patterns: Impact of the OAG Report
The Office of the Auditor General released the report on its Inquiry into Oranga Tamariki procurement and contract management on 15 May 2025. The report provides a clear and detailed analysis into Oranga Tamariki’s procurement and contract management, the poor treatment received by providers and the worrying lack of consideration for some of our most vulnerable tamariki and rangatahi.   
 
As the report notes: “Staff told us that they did not understand exactly how many children or whānau the changes to contracts in 2024/25 would affect. During our interviews, we heard about a range of consequences that were or could be occurring. They included waiting lists, an inability for whānau to access services, distress at seeing the news that trusted providers might close, and the prospect of more tamariki going into state care”
 
NZCCSS supports the findings of this report and believes the recommendations put forward reflect constructive and essential changes needed at Oranga Tamariki. NZCCSS has already been working with Oranga Tamariki to inform their development of the next steps for commissioning.
 
We are cautiously optimistic that change is on its way. We want to keeping hearing from you, our members, about your experiences so we can feed this back to Oranga Tamariki leadership.

Interwoven Impacts: Select Committee Report on SYO Released
The Select Committee report on the Oranga Tamariki (Responding to Serious Youth Offending) Amendment Bill was released on 20 May.NZCCSS opposed the Bill which provides for a Young Serious Offender (YSO) category and military-style boot camps for young people given this designation. Our concerns relating to the bill can be found in our submission.We disagree with the Committee’s recommendation that the Bill proceed but are pleased to see the Committee has proposed amendments that will strengthen safeguards within the Bill relating to the use of Family Group Conferences, the provision of military-style academies and the use of force.For all our recent submissions
visit our website.



For the needy will not always be forgotten;
the hope of the oppressed will not perish forever.

Psalm 9:18 (CSB)