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A youth homelessness agency says Budget 2026 has “abandoned” rangatahi experiencing homelessness, as new data shows homelessness in Aotearoa is at its highest level ever.
Youth housing collective Manaaki Rangatahi pou ārahi (chief executive) Bianca Johanson described the Budget as “an ivory tower budget”, saying young people and whānau struggling through the cost-of-living crisis had been ignored.
“I heard [critics] call this the abandonment budget. They have abandoned us, and that’s how it feels,” Johanson said.
“There is just more picking on the poor, making things tougher for those that are already just finding it hard to survive daily.”
It comes as a new report from Community Housing Aotearoa found homelessness had reached its highest recorded level in Aotearoa, with more than half of those experiencing homelessness under the age of 24.
The report also found Māori made up 28.8 per cent of people experiencing homelessness, despite making up 17.1 per cent of the population.
Manaaki Rangatahi Waikato regional connector Danielle Marks said the situation for Māori experiencing homelessness was “disgusting”.
“I think first and foremost, it’s really disgusting that Māori especially are homeless on their own whenua,” she said.
“We need to recognise that this is just the constant assault that colonial government has bestowed upon us year after year. But I also think that it’s really hard to navigate all these complex systems.”
Announced in Budget 2026 was a further $69.2 million into the government’s Flexible Housing Fund, which Minister of Housing Chris Bishop said would deliver between 1800 and 2250 additional social homes over three years, from 2028/29.
Bishop said the Flexible Fund would support a range of providers, including community housing organisations and Māori housing providers, to deliver homes based on local need.
“In some places, the greatest need is for one-bedroom homes. In others, it may be larger homes for big families, or other tailored solutions,” he said.
“The fund also supports a wider range of providers, including community housing providers, Māori providers, and others, to bring forward proposals that meet local need.”
Minister for Social Development and Employment Louise Upston said the Budget was designed to “incentivise getting Kiwis into work and gaining greater independence”.
“The social safety net is there when it’s needed, but it must be sustainable, and target those in the highest need,” Upston said.
The welfare system needed to be “fair, firm and simple”, she said, adding that the government’s approach was “successful in getting people off benefits and into work by investing taxpayers’ money wisely”.
The Budget 2026 welfare package includes $45 million for community food support, including school breakfasts, $93.3 million to support 25,000 sole parents into employment, and $22.4 million over two years to prevent households needing emergency housing and to support exits from emergency accommodation.
The sole parent programme is expected to generate net savings of $97.2 million over four years, while the emergency housing investment is forecast to deliver savings of $14.3 million.
“In a fiscally and economically challenged environment, Budget 2026 delivers more positive and aspirational outcomes for New Zealand families,” Upston said.
But Johanson said there was little in the Budget specifically targeting rangatahi homelessness or Māori young people.
“That’s fine to talk about how people can be independent. Rangatahi want to be working and independent and have their own money, and have a great life,” she said.
“It’s not unexpected, this budget. But it’s still - there’s no direction, there’s no pathway to an improved, healthier outcome for rangatahi in terms of housing, in terms of employment, well-being, all of it.”
“I don’t see anything for Māori. I don’t see anything for anyone under 25, whether you’re Māori or not in this budget, but especially for Māori who make up a high proportion,” she said.
“There isn’t anything, once again, that legislatively protects rangatahi.”
This year’s Budget’s child poverty report shows the government is not on track to meet most of its child poverty reduction targets, with only one of three Treasury-modelled measures forecast to meet the 2027 target, and none on track for 2028.
It also confirmed social housing tenants will pay more toward rent from April next year, increasing from 25 per cent to 30 per cent of income.
That change would increase pressure on already struggling whānau, Johanson said.
“If you’re in social housing and you’ve got to pay your rent and your bills and everything else, and then an extra $30, that $30 is the difference between going to the doctor or having gas in your car.”
“It increases the pressure.”
Marks said many rangatahi were already struggling to navigate systems like WINZ while dealing with poverty and housing insecurity.
“People don’t want to be lining up at WINZ. It’s one of the most degrading experiences that you can go through,” she said.
“But they have to do it because we don’t have things like a guaranteed minimum income and other things that can help reduce the administrative burden of everyday life.”
The Budget sent a message to rangatahi that they were being ignored, Johanson said.
“It’s a message of being ignored. You don’t matter; you’re ignored. And especially if you have needs,” she said.
“It could be a myriad of different needs, from housing to health to employment. You’re on your own.”
She said despite the government’s announcements, little would change for young people currently experiencing homelessness.
“If you’re a rangatahi and you’re homeless in Aotearoa tonight, after this budget, your life stays the same.”
Marks agreed and said this year’s Budget was “another reason to feel ignored” for rangatahi.
“We did so many submissions for the Treaty Principles Bill. We did so many submissions for all the horrendous things that’s been happening, and for the large part, rangatahi have been ignored. So it wouldn’t be surprising that at this point in time, they’re already switched off.”
“This government and many other governments have never delivered for taiohi, for rangatahi in Aotearoa. So, yeah, I guess for all of them, it’ll be just another day in the colony.”
Manaaki Rangatahi are continuing its call for a national youth homelessness strategy, better data collection, and stronger protections for rangatahi leaving state care.
“We have the solutions,” Johanson said.
“We have the things that we know are levers to get more closer towards a generational shift, towards there being no youth homelessness.”
Nā Layla Bailey-McDowell nō RNZ
