Thousands Still Await Justice Despite Record Year for Abuse Claims

Ministry statistics reveal record claim volumes in 2024 while thousands await resolution

New Zealand's Ministry of Social Development has paid out more than $86 million through its historic claims redress scheme, with 4,129 individual payments made to survivors of abuse in state care.

The information released under the Official Information Act 1982 on June 4, 2025, provides the most comprehensive picture of the government's efforts to redress survivors of historical abuse in state care institutions.

Record Claims Volume in 2024

Previously unreported statistics show the redress scheme experienced unprecedented demand in 2024, with 1,345 new claims received - the highest annual total since the scheme began operating in 2004. The ministry also processed a record 972 claims that year, representing the most significant single-year resolution of cases.

However, despite this increased processing capacity, a substantial backlog remains. The data reveals that since 2004, a total of 8,023 claims have been received while only 4,403 have been closed, leaving approximately 3,620 claims still pending resolution.

$86 Million Paid to Survivors

The cumulative payment figure of $86,011,865 across 4,129 payments represents the total financial redress provided through the scheme as of the data collection date. This averages approximately $20,800 per payment, though individual settlements vary significantly based on the nature and extent of abuse experienced.

Two-Decade Journey to Justice

The statistical breakdown shows the scheme's evolution since its inception in 2004, when just eight claims were received. Numbers grew steadily through the 2000s and 2010s, with a notable surge beginning in 2018 when 941 claims were lodged - more than double the previous year's total.

Settlement Challenges

The data also reveals ongoing challenges within the system. A total of 291 settlement offers have been rejected by claimants since 2004, while 411 claimants were deemed not eligible to register claims. These figures suggest some survivors remain dissatisfied with proposed settlements or face eligibility barriers.

Government Commitment to Reform

The disclosure comes as the government implements significant reforms to the historic claims system announced in Budget 2025. These include increasing average payments from approximately $19,180 to $30,000 and expanding annual processing capacity from 1,350 to 2,150 claims by 2027.

The ministry has also introduced "top-up" payments of 50% for survivors who previously settled claims under earlier, less generous arrangements.

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