Fairer Future Collaboration spokesperson Brooke Pao Stanley, of Auckland Action Against Poverty, says it's time for the Government to "level up" income support so everyone can live with dignity. Poverty was forcing people into impossible situations. There are long queues at foodbanks (pictured),

Those working in the field, like Liz Davies, agree. Davies is the general manager of SociaLink, the umbrella organisation for the Western Bay of Plenty's social agencies and charities.

"As we are seeing more working people accessing local services such as Foodbank for the first time, you can only imagine how much people relying on benefits are struggling.

"Without sufficient income to cover the basic costs of life, many people inevitably end up in debt which makes it harder to climb out of poverty," she says.

Davies says local social service providers are working "very hard" to support and empower people on low incomes and benefits.

Ensuring people have a liveable income would make a huge difference to whanau who then wouldn't require food parcels and would be more likely to access health services, she says.

The shortfall

An update of the Welfare Expert Advisory Group's (WEAG) modelling on what income is needed to meet basic costs shows the difference between what people get and need.

It found the majority of people receiving income support still won't have nearly enough to live on, even after the April 2022 income support increases.

The update compared WEAG family cost estimates, inflation-adjusted for 2022, to Government estimates of April 2022 benefit entitlements.

The result? Some of the country's worst-off families face shortfalls of up to $300 a week.

Twelve out of 13 families won't be able to meet their costs. Nine won't be able to meet core essential costs like rent, food and transport.

Here's an example. A couple with three children receiving the Jobseeker allowance need around $300 extra a week to meet their total costs.

These costs include children's sport and a contingency fund for unexpected bills.

Even if you pared everything back to their core costs, they couple still need an additional $165 a week.

Here's another example. A sole parent with three children will require around $240 more a week to meet total costs. Take away everything except the core items and there's still a $111 shortfall each week.

A single person receiving the Jobseeker allowance and sharing a house will need about $90 more every week to cover all costs.

"We urge the Government to do the right thing and ensure liveable support for all," Stanley says.

Key changes needed

The Fairer Future Collaboration is calling for seven key changes to income support. These include:

• increasing core benefit levels to the standard of liveable incomes
• raising the minimum wage to the living wage
• increasing the Disability Allowance
• overhauling relationship rules
• removing sanctions
• wiping debt owed to the Ministry of Social Development
• improving access and supplementary supports to meet basic needs.

Source

• SunLive
• Image: Stuff

Advocates for Auckland Action Against Poverty (AAAP) and beneficiaries using their services say the support offered this year did not match that of the first lockdown.

Just surviving is a struggle that is seeing the demand for the Auckland City Mission's services soar. The Mission says people seeking help over the past three months has been the highest in its 100-year history.

It is currently distributing more than 1600 food parcels every week, more than double what was being given out pre-Covid-19.

Missioner Helen Robinson says the demand shows how many people were living without enough money for food.

"We're conscious of people particularly who are on casual labour or even on contracts, people who have been receiving the wage subsidy gratefully - but if their rent or mortgage payments constitute a significant part of that, then what's left over is very, very limited."

With Christmas coming, the Mission's worried it won't be able to provide up to 9000 boxes of food and tens of thousands of presents for families who will otherwise go without this festive season.

The Mission is hoping for supplementary help from the public in the form of donated food and gifts, as demand this year is likely to be higher than the Mission itself can supply, Robinson says.

"In fact, we've been doing the most of what we can do for the last three months so this planning for Christmas is truly kind of the last draw of breath that the Mission can give this year to respond to the level of need," she explains.

An AAAP advocate says the people they worked with "just wanted money for food".

Scraping money together for kai often means falling behind on power, internet and water bills.

The advocate also says people saw getting a loan from the Ministry of Social Development (MSD) for clothes and household appliances as too hard during lockdown. They are just trying to survive by whatever means they can.

"I suspect that in some cases people have also found other ways of getting the money needed to survive such as allowing their school-age children to get part-time work," the advocate suggests.

They feel the ministry workers are being "far less generous-spirited" than in last year's lockdown.

"The response from MSD just seems to show a total failure to comprehend the enormity and seriousness of this pandemic and the problems it is causing for the very poorest members of society."

The MSD refutes this, saying client surveys show "high levels of satisfaction" with the Ministry's service, with 93 percent of applications for food grants approved last month.

Source

• RNZ
• Stuff
• Image: The Spinoff

They need more government support, says Child Poverty Action Group (CPAG).

Vulnerable families stand to lose a lot during level 4 lockdowns.

Their food budgets suddenly have to cater for lunches the Government's school lunch programme usually provides.

Data and phone use for children's online learning increase, adding stress to the household budget, says CPAGs Janet McAllister​.

Research shows grocery prices increased during previous lockdowns; people's panic buying and stocking up meant cheaper brands often become unavailable.

McAllister says grocery shopping is likely to get more expensive.

Before the latest lockdown, Stats NZ says food prices were up 2.8 per cent on a year earlier. At the same time, annual inflation was at a near-10-year high.

Many of New Zealand's poorest families may find the effects of this current lockdown worse than the first unless the Government lifts incomes and makes it easier for them to get support, says McAllister.

"The pandemic, in general, is increasing the cost of living for people at the bottom end faster than it is increasing it for anybody, and lockdowns are a contributing factor to that.

"Effects pile on top of each other - families still dealing with the issues from previous lockdowns will be hard hit again by this new lockdown and we are concerned they may have to deal with worse situations now than last year."

She suggests the government implement next year's planned benefit increases now, as a Covid-19 relief measure.

A CPAG report on the pandemic's impacts on low-income children during the first Covid-19 year (March 2020-21) provides insight into these concerns.

The financial stresses and educational stresses are harder on people who don't have very many resources, McAllister says.

"Obviously those effects can last longer. If you go into debt it can take longer to pay it off...

"It's great the Government has already activated wage subsidies but our most disadvantaged families must not be overlooked - people receiving benefits also need assistance with the high costs of lockdown."

The Government has paid out $484 million in wage subsidies during the current lockdown.

Auckland Action Against Poverty (AAAP) co-ordinator Brooke Pao Stanley​ says not having enough food is the biggest problem for many people.

"Being at home all day, every day means all of us, our whole families are consuming way more food at home.

"Also not having enough money to pay for bills, people are worried about having to pay their rent.

"We as an organisation are worried about people who don't have access to a phone or internet and not having Work and Income offices open means people will slip through the cracks."

Another issue is that people are finding it harder to get help such as food grants compared with the previous level 4 lockdown, she says.

The Minister for Social Development says Work & Income's Covid-19 financial support tool shows the range of help available. People can access help via their MyMSD or by phoning 0800 559 009.

Source

• Stuff
• Image: The Spinoff