Source: Radio New Zealand
Disabled people and their carers are welcoming a government back-track on funding for support services, but say the past two years have been deeply traumatic and won’t be forgotten.
The Government has wound back controversial cuts to disability support services it made in 2024.
Two years ago Whaikaha Ministry of Disabled People – which at the time was in charge of the disability budget – abruptly introduced new purchasing guidelines which severely restricted what disabled people and their carers could use their allocated budgets for.
Following a review into the funding system, and a commitment the system is now “stabilised” the Government has confirmed as of 1 April the restrictions will be lifted.
Most recently people were told that as of 1 April their new budgets would reflect what they had spent between June 2023 and June 2025 – which for many had not been their full budget due to the restrictions on purchasing.
The Minister Louise Upston has now promised budgets won’t be cut to match the limited spending.
Carer Katy Thomas told Nine to Noon the trauma caused to families when the cuts were abruptly made, will not be easily overcome.
“I’m only aware of like one of my friends whose children are still in school there was just like a mass exodus of autistic children from mainstream schools.
“They just couldn’t cope without the supports.”
“Obviously it’s wonderful that it’s going to be reversed but I’m just going to hold my breath and wait and see because what I have seen is that they give with one hand and take with another.”
Emily Writes, the former director of Awhi Nga Matua – a charity supporting parents of disabled and medically fragile kids – told Nine to Noon she did not want to see the news turned around as a good news story.
“When we have literally thousands and thousands of families left utterly traumatised and having really long repercussions from the decisions that were made.”
“We had more than 10,000 people in just one week sign a petition begging for acknowledgment and an apology over the removal of supports. That was not even acknowledged by the Minister.
“And now we’re just meant to say thank you?”
Kristy Kewene is a Northland mother who carers for her adult son. She said it was shocking how quickly the supports were able to be taken away.
“It was scary that without consulting could just decide that they’re taking something quite significant from our lives and how we cope with our lives.
“We relied on that respite.”
Disability Support Service Tranformation general manager Alastair Hill said the community had been listened to, and he could assure certainty for them going forward.
“We heard a lot from carers through the community consultation… and they’re saying, for me, I’m best placed to know about what respite or what looking after myself looks like.
“And so they’ll be able to make those choices again.
He said the reintroduction of flexible funding was possible due the changes that had been made over the past two years.
“There is more money … our annual operating funding is around $500 million more than what it was two years ago.
He said under the previous system there was no way to forecast cost pressures and where the growth may come from, which lead to budget overruns almost every year, but now there was “commercial rigour” in place.
“We have a predictable growth track, we understand more and more the funding that we’re going to require.”
He acknowledged the past two years had been really difficult for people.
“It was a real privilegde to bge able to meet with people face to face around the country last year and to hear from them directly to hear their experiences, but also to hear what would make the biggest difference.
“We’ve worked really hard to rebuild the trust. It’s not for me to say whether that job is done.”
Disability Issues Minister Louise Upston said the changes reflected feedback from the disability community last year, and the recommendations of the 2024 Independent Review.
“The steps we have taken since 2024 to stabilise the disability support system have been successful. Because of this, we can now confirm two things: the current purchasing rules will be removed in April, and people’s flexible funding allocations will stay exactly the same as they are now.
“This means we no longer need to look at what people spent in previous years to set new budgets.
“People will also get more support, guidance or coaching to manage their flexible funding – in a way that reflects their situation.”
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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand
LiveNews: https://livenews.co.nz/2026/03/12/were-just-meant-to-say-thank-you-government-u-turns-on-disability-funding/