Govt's "one-off funding boost" will only cover a quarter of the increase in budgeting demand

Family budgets are stretched. The New Zealand Federation of Family Budgeting Services reported a 27% increase in the total number of clients seen in 2010/11 compared to the previous year, the Green Party said today.

"This does not include calls to their 0508 number which deals with around 2,500 client cases a year," Green Party income support spokesperson Jan Logie said.

There are still waiting lists for beneficiaries requiring budgeting support. Community agencies are still cutting staff because of lack of funding.

"Government states that budgeting assistance is integral to their welfare plan. A one-off funding boost of $589,000 covers only a quarter of the increase in demand. This just doesn't cut the mustard," said Ms Logie.

"The Government has contributed to the problem. Unsupportive welfare reforms are contributing to an explosion in the number of people seeking support from community budgeting services in order to live day to day on low incomes. Many are being directed from Work and Income

"There are still waiting lists for beneficiaries requiring budgeting support. Community agencies are still cutting staff because of lack of funding.

"The Government must adequately increase funding for community groups providing budgeting services to meet demand."