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Budgeting Services Get Extra Funding

Hon Paula Bennett

Minister for Social Development

Associate Minister of Housing

7 May 2013 Media Statement

Budgeting Services Get Extra Funding

The Government is supporting people on low incomes by investing more money into organisations providing budgeting advice and support.

“In recognition of the good work Budgeting Services do to help people manage their income, an extra $1.5 million has been allocated for 2013/14.”

It is essential that people on low incomes have the skills and knowledge to manage their budget without getting into debt or financial crisis.

This is where budgeting advice is vital.

Future Focus changes made in 2010 introduced a requirement for beneficiaries to do a budgeting activity after getting three or more hardship grants in a year.

For most people that simply means completing a budgeting worksheet but some require the one-on-one advice Budgeting Service organisations provide. 

“The funding announced today is in addition to $8.9 million provided by Government in 2012/13 and will relieve pressure on the sector in the short term,” says Mrs Bennett.

This will be followed by a strategic review of the funding model for Budgeting Services in late 2013. MSD contracts with 152 budgeting services.

“It is time for a review of the funding model for Budgeting Services, but in the meantime $1.5 million will relieve some of the pressures,” Mrs Bennett says.

Applications open on Monday 13 May and close Friday 24 May with providers notified by 31 May.

ENDS

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