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LINDSAY MITCHELL: Latest benefit numbers - beware the spin

Await some spin regarding falling beneficiary numbers. 


But be skeptical.


After two months of data problems, MSD has managed to produce monthly statistics for February 2026.


The total percentage of working-age people on a benefit has dropped  from 13.1% in December 2025 to 12.8 percent in February 2026.


However, benefit numbers are consistently subject to seasonal changes. For example, students pile onto the Jobseeker Support Student Hardship over summer.


What really matters is the year-on-year comparison.


In February 2025 the percentage of working-age people on a benefit was 12.4 percent. Now it's 12.8 percent. Up.


And if you hear about higher cancellations of benefits, that's largely due to people cancelling their Jobseeker Support Student Hardship.


And by the way, those cancellations mainly constitute a transfer back to Student Allowance. Another 'benefit' but one that comes out of the Ministry of Education's budget.


In the chart below, what matters is the final right-hand column. All the big number benefits are up.


National need to see blue, not red figures. For all their well-intentioned work-activation policies, the bulk of people forming the statistics below will stay put without some radical re-think.



NB: Because data was lost for December and January, the "monthly" change actually covers three months.



Access other recent Brash & Mitchell posts at www.brashandmitchell.com

 
 
 

9 Comments


MaggieL
37 minutes ago

Lindsay, would like to see your stats on Working Income for Families - what that's costing us (tax rebates) where effectively no tax is paid.

Where are the stats for the cost of resthome care provided by NZ taxpayers for immigrant elderly (family reunification) who have lived in our country for 10 yrs or worked for 5 yrs, they have hardly contributed taxes if anything, costing NZ taxpayers on average $7,000 per month.

Seems some groups have been selectively overlooked.

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dandl.mitchellnz
dandl.mitchellnz
18 minutes ago
Replying to

WFF 2025 forecasted cost was $2.999 billion:

https://www.treasury.govt.nz/sites/default/files/2025-05/befu25-v2.pdf

That'd be the programme John Key described as "communism by stealth" in opposition and kept once in government. I have never supported it.

Only fully subsidised residential care residents cost the taxpayer's "on average $7,000 per month" . They must have remaining assets below a govt-set threshold and be NZ citizens or residents. Good luck trying to find data on how many have only recently become such.

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dandl.mitchellnz
dandl.mitchellnz
37 minutes ago

https://x.com/Charteddaily


Can't blame the "system issues" on not enough staff....

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bill
2 hours ago

There is an AI based GDP and Inflation project from Massey is it time to reduce the staff at the various govt organizations by say as a starter 50% and use an AI project to build an alternative.

The savings would be worth it and the activists would be gone.

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Mark Bryant
Mark Bryant
an hour ago
Replying to

I'm tellin' ya, these communists will increase the number of government employees. Guaranteed.

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Colin McLellan
Colin McLellan
2 hours ago

How the hell was it LOST


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dandl.mitchellnz
dandl.mitchellnz
an hour ago
Replying to

Perhaps I was premature in describing it as "lost''? But is there much difference between "missing" and "lost"?


According to MSD: "We have published the full February monthly benefit report on Friday 20 March. However, this has not included comparisons with January 2026, or December 2025 data.


Unfortunately, because of system issues we have not yet been able to publish the full December and January monthly and December quarterly data and benefit factsheets. We apologise for the delay. We will provide an update on timing as soon as it is available."

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Julian Batchelor
Julian Batchelor
2 hours ago

Lindsay, I like the way our articles are short and to the point. Excellent. Keep that going. Well done. Thank you.

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