CPAG lens on UNICEF 'Child Poverty in the Midst of Wealth' report

On December 6, 2023 UNICEF’s Office of Research, Innocenti, released Report Card 18 Child Poverty in the Midst of Wealth and ranked New Zealand 19 out of 39. The report found New Zealand has made good progress in improving child poverty rates but explicitly warned the Government must put children ahead of tax cuts to maintain momentum.

 CPAG Summary into UNICEF’S December 2023 Report Findings

• The report finds: 1 in 3 children with disabilities  (29%) will experience income poverty (below 60% median income), 1 in 5 children with disabilities (21.5%) will experience material hardship (struggle to meet some but not all daily material needs) and 1 in 11 (8.5%) will experience extreme material hardship (struggle to meet most of their daily material needs).

• When comparing child poverty in terms of gross national income (GNI) per capita, Aotearoa New Zealand is doing much worse compared to countries which have a similar income level. For example New Zealand’s GNI per capita is just over $40,000 USD, which is similar to Canada, Germany, Belgium and Japan. New Zealand has a higher GNI than South Korea —by almost $10,000 USD — but South Korea has a much lower child poverty rate (close to 6% difference).

• About every second child in a single adult household will experience income poverty (below 50% median income).

• NZ’s expenditure on family cash benefits have decreased between 2010 – 2019. Measuring benefit expenditure through a percentage of GDP per capita per child. NZ has decreased from 14% to 11%. Canada boosted spending from 6 to 8%. Japan from 6% to 11%.

• There has been a spike in consumer prices across OECD countries, with energy and food experiencing the highest growth. In 2022, energy prices across OECD countries increased by almost 30% and food prices increased by 13%.

• Canada, Belgium and Japan have achieved close to 20% reduction in child poverty in between 2012-2014 and 2019-2021.

• Countries with similar GNI and similar child poverty rates are France, United Kingdom, and Austria. This suggests that New Zealand has similar issues to these countries with sharing wealth and addressing the needs of the most disadvantaged children.

  MORE ON THE REPORT:

  1News: 'Good progress made' improving child poverty in NZ - UNICEF

  UNICEF Media Release: PROGRESS IN CHILD POVERTY REDUCTION MOVES NZ UP INTERNATIONAL RANKINGS