The Government increased the benefit by $25 a week last year. From July 1, it will increase by $20 a week, and a second increase will occur again next year, bringing it in line with WEAG s advice. Families and whanau with children will also receive a further $15 per adult per week.
It means in total, weekly main benefit rates will increase by between $32 and $55 per adult by April 2022. The Government expects that 109,000 families and whanau with children will be, on average, $175 a week better off as a result of changes to income support, since 2017.
Prime Minister Jacinda Ardern said it was about reversing cuts to benefits made in 1991 under National Party Finance Minister Ruth Richardson - a Budget nicknamed the Mother of all Budgets.