MSD wrongful benefit payment suspensions

The story so far

An urgent law change passed last year led to errors in winter energy payments, with about 15,000 pensioners and veterans missing out between May and August.^{18 Aug} Prime Minister Christopher Luxon and Social Development Minister Louise Upston apologised for that error.^{18 Aug} The Ministry of Social Development then confirmed a second major error linked to the same legislation, in which some people missed benefit payments because officials could not manage the paperwork that followed the rushed law change.^{27 Aug} Luxon and Upston had told Parliament that no benefits were cut, but reports indicated people did lose payments.^{28 Aug} Luxon later apologised for wrongful suspensions of payments caused by operational delays, while maintaining that his statements to Parliament were correct at the time.^{28 Aug}

Latest

Upston declined to apologise on 1 September, saying she was waiting for the results of a review.^{1 Sep} A review found payment errors of $2.5m, and Upston then accepted responsibility and apologised for policy and operational errors. The review found more than 16,270 superannuitants and veterans missed winter energy payments, with warnings reportedly raised in April but not escalated until August.^{11 Sep}

Key moments

1. 18 AugMinisters apologise after law change causes missed winter energy payments for about 15,000 people.
2. 27 AugMinistry confirms second error: beneficiaries missed payments because of unmanaged paperwork.
3. 28 AugMinisters tell Parliament no benefits were cut, but reports say people lost payments.
4. 28 AugLuxon apologises for wrongful suspensions but says his statements to Parliament were correct.
5. 1 SepUpston declines to apologise, saying she is awaiting the review.
6. 11 SepUpston accepts responsibility and apologises for policy and operational errors.

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