Budget 2026 risks pushing more families into hardship
The Salvation Army says the Budget announced today offers little to nothing for families already struggling and will likely push more whānau into hardship.
“We are saddened the government has no plan to achieve the child poverty reduction targets,” says Dr Bonnie Robinson, Director of The Salvation Army’s Social Policy and Parliamentary Unit. “They’ll be flatlining at best, which leaves us with 48,000 more children in poverty than three years ago, and 1 in 7 in material hardship.”
Meanwhile, whānau in social housing, who are looking at a reduction in their disposable income due to what is effectively a 20% increase in rent, will be facing further stress.
“Putting a time limit on social housing tenancies creates a loss of security, which is equally concerning as social housing should provide stability for families,” says Bonnie. “This comes at a time when we are already seeing huge food insecurity and stress in our communities due to the cost of living, increased fuel prices, redundancies, unstable housing and increased homelessness.
“The need we are seeing for food support in our communities is already well beyond our capacity – over the last couple of years we have struggled with insufficient, overworked frontline staff, and foodbanks that are booking out early with many whānau missing out.”
The Salvation Army welcomes the continuation of funding for foodbanks for one more year, including the commitment to ongoing funding for national and regional food distribution and rescue and acknowledges the importance of programmes like school lunches, which has also seen a one-year continuation.
“This support is critical and helps ensure families can access food in the short term. However, demand for food support remains around 40 percent higher than before COVID-19.
“Longer term, we are concerned that there appears to be no ongoing funding for foodbanks after next year.”
The combined impact of housing changes, food hardship and cost pressures will fall disproportionately on Māori and Pacific communities.
“This Budget shows little evidence of targeted Māori or Pacific programmes,” says Bonnie. “Instead, support seems to be embedded in mainstream funding which will not reduce existing inequities or uphold Te Tiriti obligations.
“We already see higher rates of food insecurity, homelessness and material hardship among Māori, including around half of all children in hardship (45%).
“Te Tiriti o Waitangi requires us to protect wellbeing, and we are not seeing that reflected strongly enough here.”
Bonnie says the Budget risks making life tougher for those already struggling, and calls for a stronger focus on reducing hardship.
“We need to be supporting those with the least, not asking them to carry more.”
The Salvation Army Territorial Media Officer, 021 945 337, email: media@salvationarmy.org.nz (The Media Officer responds to enquiries from media outlets and journalists. If you would like to donate, are in need of help, or have some other non-media-related enquiry, please call 0800 53 00 00.)