Radio New Zealand - Te Reo Irirangi o Aotearoa

Key still hopeful of deal on permanent residents

Updated at 8:10 pm on 29 January 2012

Prime Minister John Key remains hopeful Australia will make changes to allow up to 100,000 New Zealanders living there to become permanent residents of Australia.

They would become eligible for welfare support if that happens.

But after meeting with Australia's Prime Minister Julia Gillard in Melbourne on Sunday there were no announcements on the matter.

Mr Key says he raised it with Ms Gillard but the final decision on relaxing the rules rests with the Australians, but he's hopeful that some progress can be made.

Mr Key says New Zealanders living across the Tasman, but who were not permanent residents, had problems during the Victoria fires and Queensland floods.

He says initially they did not get the same level of support as Australian citizens do.

Mr Key says if they had residency they would then be eligible for welfare support.

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