Scott Alastair: Oral Questions — Questions to MinistersText is incorporated into the Bound VolumeScott Alastair: Oral Questions — Questions to Ministers[Sitting date: 31 March 2016. Volume:712;Page:10087. Text is incorporated into the Bound Volume.]1.ALASTAIR SCOTT (National—Wairarapa) to the Minister of Finance: What changes is the Government making to increase support for families in need from 1 April?Hon BILL ENGLISH (Minister of Finance): From tomorrow the Government’s $790 million child hardship package comes into force. We are strengthening work obligations for beneficiary parents and providing additional childcare subsidies for low-income families because the best thing we can do for these children is help their parents into work. Low-income working families will benefit from an increase in Working for Families of up to $24.50 per week and for those who cannot get a job benefit rates for families with children will rise by $25 a week after tax—the first such increase over and above inflation in 43 years.Alastair Scott: How is the Government supporting the creation of jobs to help people move from the benefit into work?Hon BILL ENGLISH: As I think one commentator said today the New Zealand jobs machine just keeps chugging on—175000 more jobs in the last 3 years with a further 173000 expected by 2020 and unemployment at a bit under 5.5 percent. At the same time the annual average wage continues to rise. In fact over the last 7 years it has risen 24 percent compared with inflation of 11 percent. These conditions of moderate wage increases and robust job growth create more opportunities for people to move off welfare and into work.Darroch Ball: Of the 110000 families and 190000 children that the Government says will benefit after 1 April how many of those families will actually receive $25?Hon BILL ENGLISH: I cannot give the member the exact number. As I have said it is an increase in Working for Families of up to $24.50. That depends of course on their income—[Interruption]Mr SPEAKER: Order! I am sorry to interrupt the member but if the member asks a question I expect that he wants to hear the answer. Would he please listen to the answer without continually interjecting. I invite the Minister to finish his answer.Hon BILL ENGLISH: —but in the case of families with children who are on a benefit they will get an increase of $25 per week.Alastair Scott: What other changes come into force on 1 April cutting compliance costs for businesses and the self-employed and what progress overall has been made since 2008 in reducing costs to business?Hon BILL ENGLISH: Probably the largest single area is in the payment of ACC levies. ACC’s finances have been turned round since the mess that they were in back in 2008 and the gains from this turn-round have been passed on to employers the self-employed and vehicle owners. From tomorrow ACC levies will fall by $232 million. Over the next 12 months annual motor vehicle levies will be cut by $218 million. In total ACC levy cuts in 2016 will see New Zealanders $450 million better off. Levies today are now $2 billion a year lower since 2008—that is $2 billion per year lower since 2008. That is the same cost as reducing the middle tax rate from 30 cents to 20 cents.Darroch Ball: How can less than a dollar a day for a family of five children make a real and meaningful increase in support for families in need?Hon BILL ENGLISH: How much they get per day will depend on the family’s circumstances but if they are a family on the benefit with five children they will get the $25 per week. The member is free to ask them whether they think that is a waste of time or not. I suspect they will say that they welcome the extra $25 because in the world of very low family incomes that is actually a fair bit of money.Alastair Scott: What other changes is the Government making on 1 April to lift support for Kiwi households?Hon BILL ENGLISH: Alongside the big further cuts in ACC levies and the implementation of the hardship package paid parental leave will increase from 16 to 18 weeks which follows a boost from 14 to 16 weeks last year; the minimum wage will increase to $15.25 per hour—that is an increase of 3.4 percent and is directly benefiting 152000 workers; and superannuation and veterans’ pensions will increase by 2.7 percent affecting 600000 superannuitants.