The Alliance Plan To Rebuild Universal Social Security

by · SCOOP

The Alliance Party will end benefit sanctions, individualise social security entitlements, and establish a Universal Benefit as the foundation of a new social security system under its 2026 election policy.

The Alliance will also introduce universal payments for children and families, end unnecessary benefit stand-down periods, and replace the current high-compliance welfare model with a high-trust system based on adequate incomes, dignity, and universal entitlement.

Alliance social security spokesperson and West Coast–Tasman candidate Sara Dyatlova–Murphy said the policy represented a fundamental change in how New Zealand treats people who need income support.

“Social security must stop people falling into poverty, not punish them once they get there.

“Losing a job, becoming ill or disabled, caring for a family member, or needing help while studying are ordinary risks and responsibilities. We need to ensure people have security when those things happen.”

The Universal Benefit would be set at a level reflecting reasonable average living costs and providing an adequate standard of living.

Entitlements would be individualised, so a person’s access to support would no longer depend on their partner’s income or circumstances.

Ms Dyatlova–Murphy said the Alliance would also abolish sanctions, unnecessary stand-down periods, and welfare debt and debt-recovery practices that push people further into hardship.

“Taking money away from someone who already cannot afford food, rent, or power does not solve unemployment or poverty. It simply makes a bad situation worse.”

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The policy would write off existing beneficiary debt owed to the Ministry of Social Development and replace recoverable assistance for urgent needs with grants where appropriate.

Core social security payments would be indexed quarterly to either average weekly earnings or the Consumer Price Index, whichever produced the greater increase.

Families would receive a Universal Early Years Benefit for every child under three, followed by a Universal Child Benefit from age three until sixteen, regardless of family income or relationship status.

“Universal child support recognises that helping families raise healthy, secure children is a responsibility shared across society,” Ms Dyatlova–Murphy says.

The policy would also expand support for people living with illness or disability, provide direct payments for family members and other primary carers, and develop a caregiver wage recognising the value of unpaid care.

Students and trainees would receive a universal student income, independent of parental income and set at a liveable level equivalent to the unemployment benefit.

“Everyone should have the security to participate fully in their family, their community, and society, whatever their circumstances.”

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