Sepuloni CarmelSOCIAL ASSISTANCE (RESIDENCY QUALIFICATION) LEGISLATION BILLThird ReadingHon CARMEL SEPULONI (Minister for Social Development): I move That the Social Assistance (Residency Qualification) Legislation Bill be now read a third time. This bill reflects this Government's commitment to strengthening the partnership between New Zealand and our Pacific neighbours. In particular we want to recognise the close constitutional ties we have with the Cook Islands Niue and Tokelau and the contribution people from these nations have made and continue to make to New Zealand. This bill enhances our already strong ties to these nations. By providing greater pension flexibility for people who wish to live in the Cook Islands Niue and Tokelau this bill reflects how we want to work together toward greater social and economic development in the Pacific. New Zealand superannuation and veterans pension are our main forms of income support for older New Zealanders. New Zealand superannuation is payable at age 65 to any New Zealand citizen or resident who is ordinarily resident in New Zealand when he or she applies and who has been resident and present in New Zealand for 10 years over the age of 20 and also five years over the age of 50. Veterans pension is the alternative pension for veterans and their partners who qualify for New Zealand superannuation based on veterans' Qualifying Operational Service. Current pension portability arrangements allow people to take their New Zealand superannuation or veterans pension to one of 22 Pacific countries and territories including the Cook Islands Niue and Tokelau. The provision that makes this possible is called the Special Portability Arrangement. Under the arrangement New Zealand superannuation and veterans pension is paid at a minimum of 50 percent after 10 years' residence in New Zealand rising to 100 per cent after 20 years' residence. Generally to be eligible under the Special Portability Arrangement a person must be resident and present in New Zealand on the date of his or her application. An amendment to the Special Portability Arrangement introduced in 2015 allows people resident in the Cook Islands Niue or Tokelau to apply for New Zealand superannuation or veterans pension from the Islands rather than needing to be resident and present in New Zealand at the time of their application. The intent of this change was to remove a disincentive for people to return to the Cook Islands Niue or Tokelau to live. However the change has had a smaller take-up than expected. It is now evident that the 2015 change while removing some disincentives for skilled people to return to the Cook Islands Niue and Tokelau during their working lives did not really achieve the desired effect of encouraging people to move back to and remain in those countries. The Governments of the Cook Islands and Niue have expressed concern that the five years over age 50 residence requirement was the reason for the low take-up of the amendment made in 2015. They considered that the five over 50 residency requirement was deterring skilled people from returning to and contributing to their countries. They also expressed concern that the five years over 50 residence requirement may actually induce some people to return to New Zealand in order to ensure that they will be able to claim New Zealand superannuation or veterans pension later on. This bill will remedy these concerns by allowing the requirement that a person have five years' residence and presence in New Zealand over the age of 50 years to be met instead with residence and presence in either New Zealand the Cook Islands Niue or Tokelau or any combination of these countries. This Government also wants to ensure that superannuitants have as many options as possible as to where they choose to live by allowing people to use residence over the age of 50 in New Zealand the Cook Islands Niue Tokelau or any combination of these countries to qualify for New Zealand superannuation and veterans pension. This bill will achieve both these things. The change is for the Realm countries because this bill is about recognising New Zealand's close constitutional relationships with these Pacific Islands—the Cook Islands Niue and Tokelau—which do enjoy shared citizenship with New Zealand and unique legal arrangements. Tokelau is a non - self-governing territory of New Zealand. Both the Cook Islands and Niue have adopted constitutions enabling self-government and free association with New Zealand. Free association is a status distinct from that of full independence in that it allows the Cook Islands and Niue to maintain New Zealand citizenship while administering their own affairs. As I mentioned earlier this bill is also about ensuring the economic and social viability of the Cook Islands Niue and Tokelau. Depopulation and its related social and economic consequences is a longstanding issue for the Cook Islands Niue and Tokelau. The current five years over 50 in New Zealand requirement has been described as a disincentive for Cook Islanders Niueans and Tokelauans established in New Zealand to return home before the age of 55. Removing this disincentive would potentially help boost economic development and human resource capacity in these islands through an increased return of experienced people able to effectively apply skills acquired in New Zealand in their home communities. People returning in their 30s 40s and 50s would have the capacity to contribute to the workforce up to 35 years in advance of the age of qualification for New Zealand superannuation. I really want to acknowledge the support for this bill from members of the House. I also want to acknowledge the support for this bill from Realm countries. I particularly want to acknowledge the Prime Minister of the Cook Islands who has been a strong advocate for this change to legislation and in fact was here with us during the first reading of this bill in the House here.Can I also acknowledge the Rt Hon Winston Peters who announced this alongside myself and the Prime Minister in the Cook Islands earlier this year. I really want to acknowledge the opportunity that we had to announce it there in the Cook Islands which was a very special announcement given how many people have been fighting for this change over a long period of time.I also want to acknowledge that this really is absolutely aligned with this Government's commitment to a Pacific reset—a reset that will see us treating and working with our Pacific Island neighbours as true partners. And this is indicative of that given that this is a request put to us—that we value the contribution that Pacific people have made in New Zealand but we also absolutely respect the contribution that they should be supported to make in their home island countries.I want to acknowledge the support for the bill across the House. I'm pleased that we can come together to support this bill and make positive changes for people in our neighbouring Pacific nations. I commend this bill to the House.