Nappy and Small Item Allowance Changes

In this years’ budget, a further $57 million will be invested into the care sector to remove the disparities between payments of the Orphan’s Benefit (OB) and Unsupported Child’s Benefit (UCB) caregivers receive compared to Foster Care Allowance (FCA). This will better enable caregivers to meet the costs of caring for tamaraiki and rangatahi. This continues the work that started as part of the 2019 review of financial assistance.

From April 2022 caregivers receiving the OB/UCB will receive:

• a nappy allowance for children aged 0 – 4 years, and
• standard payments for small items that the child or young person needs (for example prescription costs)

Caregivers receiving the FCA who are caring for a child aged 0 – 4 years will receive a small increase to the nappy payment, to better reflect the cost of disposable nappies.