MSD's baseline funding won't be cut - English

Finance Minister Bill English says the Government is not considering cutting baseline funding to the Ministry of Social Development as part of its welfare reforms.

Cabinet papers indicate that a portion of the ministry's baseline funding could depend on its performance in moving people off welfare.

Mr English says some of the ministry's funding will be performance-based but only in areas where it is specifically tied to getting people off long-term welfare, and baseline funding will be unaffected.

Earlier, Labour's social development spokesperson, Jacinda Ardern, said the ministry is already financially stretched and performance-based funding could plunge it into a funding crisis.

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