Official costings of the Greens' welfare policies during government formation negotiations reveal what the Government’s welfare reforms
could cost taxpayers.
An overhaul of the welfare system was part of Labour's confidence and supply agreement with the Greens.
“The ghost of Metiria Turei is haunting the Government as it considers the Greens’ massive new entitlement policies",
says ACT Leader David Seymour.
"The Green Party's desired Working for Families changes alone would cost taxpayers $1 billion a year and would see more
New Zealanders on welfare.
“Officials warn that the figures ‘significantly underestimate the costs associated with these changes’ which could be
‘hundreds of millions of dollars’ higher.
“That's because more generous benefits will lead people will work fewer hours and pay less tax, something officials
refer to as 'impacts on labour supply’.
“This approach completely ignores the importance of paid work to the wellbeing of New Zealanders.
"In 2010, ACT persuaded National to reform the welfare system. At that time, New Zealanders were being failed - 356,000
adults, or one in eight people of working age, were receiving a benefit.
"Since then, New Zealanders have been moving from dependence to independence.
“This Government wants to see an increasing number of people get stuck in long-term benefit dependency.
"ACT supports a safety net that provides support to our most vulnerable people when they need it, and then helps them to
get on with their lives”, says Mr Seymour.