Call to increase Winter Energy Payment as costs surge

By CathNews New Zealand

March 27th, 2026

(Paul Moss/Wikimedia Commons)

The Child Poverty Action Group is calling for an increase to the Winter Energy Payment to help offset the cost-of-living crisis for families living on core benefits.

The Child Poverty Action Group (CPAG) noted that Finance Minister Nicola Willis announced on March 24 that, from April 7, 143,000 low- to middle-income families with working parents will receive $50 per week through the In-Work Tax Credit (IWTC), in the wake of petrol prices rises.

CPAG spokesperson Isaac Gunson said that while the announcement will alleviate some pressure in working families, there’s nothing for families relying on core benefits.

“Energy crises affect benefit-dependent families too. Where is their support?” Mr Gunson asked.

“Close to a quarter of a million children live in households receiving a core benefit. The idea that no additional support will be made available to that many tamariki is outrageous.”

The CPAG noted that the Prime Minister and Finance Minister spoke about a 3.1 per cent inflation adjustment to core benefits on April 1. But in the last three weeks, the cost of 91 petrol alone has risen by nearly 40 per cent and diesel by more than 80 per cent.

“Our . . . research clearly shows many of those incomes are already woefully inadequate to cover even the bare essentials, in a year where the cost of those essentials, like electricity, meat and poultry, and dairy products rose faster than inflation,” Mr Gunson said.

Since its introduction in 2018, there has been no increase in the Winter Energy Payment (WEP) rate, held at $20.46/week ($450.12 total) for single parents with no children and $31.82/week ($700.04 total) for couples and people with children.

Between December 2018 (after the first year’s payment concluded) and December 2025, household energy costs have increased by 30 per cent.

“CPAG is calling on the Government to increase the WEP by 30 per cent in time for the coming winter. It’s an approach that aligns with the Government’s move to use already-established systems to support low-income families, but which also recognises the pain being felt in households receiving core benefits.”

The CPAG is also asking the Government to consider extending the period of this year’s WEP from 20 weeks to 26 weeks.

FULL STORY

Where is the support for benefit-dependent households? (Child Poverty Action Group)

Fuel Crisis Relief Package (NZCCSS)