The New Zealand government has announced a new round of financial support to displaced homeowners affected by the recent extreme weather events in North Island. This interim payment is meant to support homeowners when their insurance for temporary accommodations runs out.
The interim payment will be made available from Sept. 4, made weekly and directly to homeowners. It will be set at 100% of the average rent declared by the Accommodation Supplement recipients in their respective regions.
NZ social development and employment minister Carmel Sepuloni said in a news release that the government recognizes the need to provide certainty to residents who are unable to return to their homes. The payment will bridge the gap until repairs are undertaken or a decision is made on the future of their property.
“After picking up the Auckland portfolio, I prioritised visiting areas impacted by the extreme weather events. Having talked informally to many residents, it’s clear that they need and deserve certainty so that they can plan, recover, and get back to a sense of normality,” Sepuloni said. “The government has prioritised setting up this payment now, as payments from insurers for temporary accommodation start to run out and the future for some people’s homes remain uncertain.”
Sepuloni added that work is underway in case a longer-term solution is needed, but in the meantime, this interim payment should give displaced homeowners the certainty and confidence that they need to plan ahead.
Eligible homeowners can receive a lump-sum covering them from as early as June 1, to ensure that there is not a gap in the support given. Payments are not taxable and will not affect Working for Families as well as most other social assistance entitlements.
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