Budget 2020: More houses and food for the needy

Tauranga social agencies have welcomed news the Budget would provide more homes for the vulnerable and more money for social service providers.

However, they say more needs to be done.

Yesterday the Government pledged to deliver 6000 public and 2000 transitional homes, which was expected to stimulate the residential construction sector, create jobs and reduce the housing shortage.

Housing Minister Megan Woods said the ''security that decent housing gives us cannot be overestimated and we are determined to turn the tide on New Zealand's housing issues''.

The project would be driven by Kāinga Ora, which would borrow $5 billion over the next four to five years alongside $570 million of related rent subsidy funding.

Accessible Properties chief executive Greg Orchard said, at first look, it did not go far enough.

''The additional homes do not even cover the existing waiting list, let alone the growth we can expect as a result of the impact of Covid-19 and forecast numbers who will require support.''

''Since 2014 the community housing sector has been calling for an additional 15,000 public housing units. It remains unclear how the Government's funding mechanisms are proposed to change to accelerate the delivery of new public housing.''

Tauranga has some of the highest housing need in the country, and some of the least affordable housing, he said.

Te Tuinga Whānau Support Services Trust executive director Tommy Wilson said the funding for transitional housing was wonderful.

But he also held high hopes for Whānau Ora, which received $136m to continue to support whānau in the communities who need it the most.

''I am encouraged what is going out to the regions through this but the flag I am flying is it must go to those at the frontline and not be held up by the commissioning agents. We need that security for the vulnerable.

''To know the government is shepherding us is very comforting so we can continue to shepherd the community.''

Meanwhile, $79m would be pumped into social services. Food banks and budgeting services got the nod for more money.

Social Development Minister Carmel Sepuloni said social services would continue to play an essential role in supporting people and communities to recover.

"Social services are critical to wellbeing and helping New Zealanders through this unprecedented time, which is why we will continue to support the important mahi they do."

About $32m had been set aside for food banks and other community food service providers, which encompassed a new bulk food distribution New Zealand Food Network as well as more money for 131 budgeting services.

Tauranga Community Foodbank chairman Larry Bilodeau said the foodbank would welcome any additional support.

''The fact the Government will supply additional funding for foodbanks is the best news ever. It is fantastic and even though our community is very supportive this will help.''