Urgent investment needed in low-income families, particularly sole parent households
Save the Children is calling on the Government to commit to investing in policies to lift more children and whānau out of poverty following the release of today’s latest child poverty statistics that show no progress on meeting targets over the past year, and particular groups of children more at risk.
Child Poverty Statistics for the year ending June 2024 released today by Stats NZ show the number of children experiencing hardship in their everyday lives has largely remained the same, with specific groups of children - including mokopuna Māori, Pasifika and disabled children and those living in sole parent households - particularly impacted by poverty.
The cost of housing continues to push many families into poverty, with one third of low- income families spending more than 40% of their income on housing, compared to an average of 20% for all households. Today’s figures do not include those children and families living in emergency housing, the hardest end of poverty.
"Child poverty is complex and needs political commitment and investment across all governments if we are to achieve real change and enable all children in Aotearoa to thrive," says Save the Children New Zealand’s Advocacy and Research Director Jacqui Southey.
"If we are to meaningfully reduce child poverty levels, we must be committed to meaningfully lifting the incomes of low-income families, including lifting welfare levels, and tackle the availability and cost of housing for all New Zealanders whether renting or owning their own homes.
"We cannot be trapped into seeing this as a single term or single government issue. And most importantly, we must not give up."
Ms Southey says the data across the reporting period from 2018 shows a lift in poverty levels since 2021, although the primary measures remain lower than, or at, the 2018 baseline.
"Although there is no statistically significant difference to report, the graphs show that over time we are no longer moving the dial in the right direction and this is extremely concerning.
"We cannot ignore that one in four of our children are living in material hardship and one in five are living below the poverty line after housing costs in Aotearoa. For each of these numbers, a real child is experiencing the everyday hardships of not having enough.
"For particular groups of children, this number is much higher. Pasifika children continue to experience poverty at a higher rate than other groups of children. It is essential that we understand the why of these statistics so we can make the necessary changes to ensure Pasifika children do not lead lives disadvantaged by poverty."
Ms Southey says children living in sole parent households are also significantly impacted by child poverty. Nearly 80% of households living on the lowest incomes are sole parent households, on average living on a disposable income of less than $46,000.
"By any measure this is a shockingly low-income level for a family and is directly contributing to levels of child poverty in Aotearoa New Zealand," she says.
"It is not acceptable that our economic systems are set up to push sole parent families into poverty, this is a critical area for change."
Save the Children is calling for targeted policies and investment to significantly improve support for sole parent families that would ease the economic burden they are living under.