This article was first published by RNZ
The Ministry of Social Development is introducing tough new rules within days to cut down on the number of people using emergency housing, which includes tougher eligibility and a stand-down for 13 weeks on the housing grant if a person breaks the rules.
This has come to light on Friday, after an advocate for tenants contacted RNZ saying the people were alarmed they were facing eviction by the end of the month.
The Ministry of Social Development (MSD) then confirmed to RNZ that from 26 August it would make changes for “strengthening eligibility settings and the introduction of new obligations”.
The new rules signal the implementation of the biggest push from the government in its move signalled in March to reduce reliance on motels for families in strife, and largely end emergency housing by the end of next year.
MSD said anyone who stayed longer than a week would need to engage with support services and make “reasonable” efforts to get other housing.
Another condition would be “paying their emergency housing contribution” - on top of the grant that covers most of the costs.
Case managers will check, and if two warnings do not work on someone who is not complying, then they will be blocked from getting a grant for 13 weeks.
“In March Ministers announced that they had directed MSD to strengthen the verification processes for those entering emergency housing,” Anne Shaw, MSD group general manager housing, said in a statement.
“As long as people have a genuine housing need and continue to meet their responsibilities, they will to continue to be eligible for emergency housing support.”
The government said in March it was taking the first steps to cut back emergency housing and promised “bold and radical steps”.
Canterbury housing advocate Kevin Murray said a woman called him on Thursday after hearing from MSD, worrying she would be evicted at the end of August.
“We’ve heard a few stories around that it’s going to affect every person in emergency housing,” Murray said.
“I wonder how they will deal with people with serious illness who are on the supported living and may not be able to meet new obligations?”
MSD referred to people engaging with a housing broker, navigator or budget or employment advisors, but Murray said the ministry had cut back on budget advisory services.
Shaw said the new settings had required legislative change, which it had been communicating with advocates and stakeholders.
That secondary legislation introduces a new “responsibility framework” which changes the eligibility criteria for emergency housing grants; removes the ability to make emergency housing grants recoverable; and clarifies the settings for security deposit grants.
Murray said he had heard nothing about it; Rotorua Lakes Council, a hotspot of emergency housing, did not know about the changes when RNZ called; and Community Law had a similar response.
MSD said its case managers would be letting clients know more from Monday.
Murray said he tried to contact MSD on Thursday but did not hear back.
As at June, about 4300 people, half of them children, were in emergency housing, a lot of it motels.
The amount in grants for it dipped below the mid-to-high $20 millions for the first time in a year in June, dropping $7m in just a month to $15.9m.
The latest figures in June show a drop of about 400 people using it, and 100 fewer households with children using it for over 12 weeks - down to 441 such households.
It was most common to be in it for three-to-six months, but 100 families had been in it for more than two years.
Auckland and Waikato had the greatest numbers.
Rotorua is a focus for the government, and is cutting the number of motels contracted to provide emergency housing from 13 down to seven. The aim was to have just four motels by mid-2025, the government has said.
By Phil Pennington of RNZ