Disability Support Transferred to MSD Following Ministry Shake-Up

• Ministry of Disabled People will focus on advocacy, policy advice, and strategic monitoring.
• Disability support services will transfer to the Ministry of Social Development by October 2024.
• Enabling Good Lives programme expansion paused to ensure fair, needs-based support.

The Government has announced a significant restructuring of disability support services in New Zealand. By October 2024, the responsibility for delivering these services will shift from the Ministry of Disabled People to the Ministry of Social Development (MSD).

This move follows a critical review that identified severe issues within the Ministry of Disabled People, including unsustainable spending, poor financial controls, and inequitable access to services.

Disability Issues Minister Louise Upston explained that the changes were necessary due to the dire state of service delivery under the current system.

The review highlighted that the Ministry of Disabled People’s rapid establishment left it unprepared to manage its responsibilities effectively, with the Ministry facing potential budget overruns unless immediate action was taken. Upston stated, “The previous government left the Ministry ill-prepared from day one to deliver on promises that were made to the disability community.”

The restructuring will transform the Ministry of Disabled People into a standalone government department, with its focus narrowed to strategic policy advice, advocacy, and monitoring the effectiveness of services for disabled people. This change is intended to enhance the Ministry’s ability to advocate for the rights of disabled New Zealanders without the conflict of also managing service delivery.

A taskforce will oversee the transition of disability support services to MSD. This shift will also involve pausing the expansion of the Enabling Good Lives programme, which aims to provide more personalised support based on individual needs rather than geographic location. Decisions on the future of flexible funding eligibility will be made later in the year after consulting with the disability community.

The restructuring has drawn criticism, particularly from Labour’s acting disability spokesperson, Carmel Sepuloni, who described the changes as a “harsh blow” to the disabled community.

She argued that the move to strip the Ministry of Disabled People of its financial control and responsibility for support services would significantly diminish its role. Sepuloni also criticised the halting of the Enabling Good Lives programme, which she said was crucial for giving disabled people greater choice and control over their lives.

Despite the controversy, Upston emphasised that the changes are essential to building a sustainable and equitable disability support system in New Zealand. The Ministry of Disabled People’s Chief Executive Paula Tesoriero acknowledged the challenges faced by the Ministry but expressed optimism about the opportunity to drive meaningful change under the new structure.