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Home / New Zealand

Those who missed out in Budget may yet get help

By Paula Oliver
NZ Herald·
25 May, 2008 05:00 PM2 mins to read

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Michael Cullen

Michael Cullen

KEY POINTS:

Beneficiaries who have missed out on Labour's tax cuts and Working For Families money look set to get some help in coming weeks as the Cabinet considers options for raising the levels of some payments.

Labour has copped criticism from beneficiary advocates since its Budget last week delivered billions of dollars to workers and their families but little if anything for beneficiaries and their families, who are also struggling with higher food and petrol costs.

It now appears Labour is preparing to address that by boosting some assistance.

Finance Minister Michael Cullen yesterday said the Treasury and Ministry of Social Development were looking at options that he and Ruth Dyson expected to take to the Cabinet within weeks. "We are looking at the moment at what kinds of additional assistance might help those single-beneficiary families in particular who have missed out from all the changes over recent times," Dr Cullen told TV One's Agenda programme.

"Some of the areas of additional assistance, the maximum amounts payable haven't moved for quite a number of years and therefore haven't kept up with the costs which may be involved."

He referred to special needs assistance around food as an example of what he was considering.

The changes would be "relatively modest" and targeted, Dr Cullen said.

Asked why the issue wasn't addressed in the Budget, the minister said there were "lots of other priorities to address" in that.

National's leader, John Key, said he wanted to see the detail of Labour's proposals before commenting.

But he said he had sympathy for all who were struggling to make ends meet, including those on benefits.

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