The Beehive building

Addressing disability support services cost pressures – Budget 2022

We want to ensure there is funding available to cover increased costs and additional services for disabled New Zealanders.

Government has allocated $735 million to ensure the new Ministry for Disabled People can continue existing services and develop and deliver future services that disabled New Zealanders need.

This initiative funds cost pressures on the Government Disability Support Services budget, including price increases due to inflationary pressures and increases in service volumes due to demand for services.

  • Disability is a priority area for the Government, reflected in the establishment of a new Ministry for Disabled People from 1 July 2022. The new Ministry will join up the supports and services available to disabled people and replace a fragmented system where there is no single agency responsible for driving improved overall outcomes for disabled people.
  • There is a wide range of cost and volume pressures across the disability budget. Easing these pressures will achieve a variety of positive outcomes for disabled people, including:
    • An increased amount of support being delivered
    • An increase in the supply of appropriate long-term high and complex beds for clients requiring secure care
    • Enabling providers to continue to meet commitments to their clients.
  • Core services being funded include:
    • Residential-based support services – about 7,500 people
    • Community-based support services – in-home and respite care helping about 30,000 people live an everyday life
    • Environmental support services – supporting about 100,000 people to live safely in their own homes and to participate in their communities
    • Connecting and strengthening disability communities – supporting the assessment, support, and coordination of clients across New Zealand.
  • The Ministry of Social Development will host the new Ministry for Disabled People. This will ensure the new Ministry has access to existing shared services and the knowledge to help it hit the ground running.

Costs (operating)

2021/22

2022/23

2023/24

2024/25

2025/26 & outyears

Total

$31.000 million

$176.000 million

$176.000 million

$176.000 million

$176.000 million

$735.000 million