Stewart Barbara: Child Support Amendment Bill (No 4) — Third Reading 
Stewart Barbara: Child Support Amendment Bill (No 4) — Third Reading 
[Volume:634;Page:5387] 
BARBARA STEWART (NZ First) 
: 
 On behalf of New Zealand First I rise to support the third reading of the Child Support Amendment Bill (No 4). New Zealand First believes that this bill is a genuine attempt to take some action on the very contentious and difficult issue of child support. It would have been totally irresponsible to ignore the situation we currently have in New Zealand and do absolutely nothing. The issue has needed to be addressed for quite some time and all parties in the House have agreed on this. Inaction is not the answer it never has been the answer and it never will be the answer. 
We have heard from various speakers that one of the purposes of the bill is to improve compliance with financial support obligations so that more children receive the financial support to which they are entitled. In this House we know that children’s needs are many and usually very expensive. It is important today to be part of the in-crowd and that usually involves having a cellphone the label gear and even an iPod. We know that peer pressure can be particularly intense for teenagers. 
The bill proposes writing off the debt penalties—not the arrears—as a part incentive for parents to try to reactivate their payments. As we have all heard during the passage of this bill through the House this measure will provide only limited relief. We are very aware there is a provision for reviewing the measure if liable parents default on their obligations. We must say that the penalties should never go towards the child but elsewhere in the system if they are indeed collected. It is an unrealistic situation when interest that parents owe is larger than the actual principal. 
This bill may hopefully encourage some lapsed parents to re-enter the system because we all know that children need the financial support of both of their parents. It is absolutely essential to reconnect parents with their financial responsibilities. One of the earlier speakers Judith Collins said there were 44339 parents who needed to be reconnected in this respect. Non-payment of child support is a very serious issue and unfortunately the losers are always the children. 
We are very aware that the child support money owed by parents overseas has nearly quadrupled in the last 3 years. Some of this increase will undoubtedly be debt penalties. We all know that debt penalties rise rapidly. If this is an impediment it needs to be managed so that more parents can re-enter the system. New Zealand First believes that it is far better to do something about debt penalties and try to manage this whole situation. We will be very interested to hear further from Peter Dunne about his Australian visit. 
We want the collection rate for child support to be far higher than it is at present. It is essential that as far as possible a parent’s child support too accurately reflects that person’s ability to provide financial assistance for his or her children. We are very aware—and we are very pleased to have had it addressed in this bill—that some irresponsible parents hide their assets in a trust so that lo and behold they do not have to pay a reasonable contribution towards their child or their children. But again it is the children who suffer. They are unfortunately the innocent victims and it should not happen. 
On the other hand I know of a liable mother who provides so much for her absent children that she is forced to live on the breadline. Life would be far easier for her if she took other courses of action. But she is determined not to do so and she will continue to make the compulsory and extra voluntary payments for her children. So we are pleased to see some provision in this bill to administratively review the level of child support where there is reason to believe that the true level of a parent’s funds has been hidden. 
We know that children are our future and that they deserve the support of both parents. It is a serious and important issue and measures have needed to be put in place for a very long time. We need to ensure that there is greater compliance for parents and that they meet their financial contributions. 
We note too that the bill proposes a temporary exemption for young parents for whom it is compulsory to be at school. If those parents take on some part-time or casual work they will be required to make some contribution towards the support of their child. Again this is another challenge that the bill deals with. We must say that this bill is dealing with families at a very difficult and critical point in their lives. It is a very hard problem to resolve. We are aware too that this bill might not provide the perfect solution but at least it is a part solution. We must move forward with solutions on this issue of child support. 
The message from this Parliament tonight is very clear: parents are responsible for the financial welfare of their children and any incentive that can be used to encourage lapsed parents to follow through with their responsibilities must be supported. New Zealand First supports this bill.