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New fuel support package unveiled to ease petrol price pressures for working families

Relief is on the way for working families battling soaring fuel costs. But critics warn thousands on benefits are left behind—here's who qualifies.

The image shows a white background with a pie chart depicting the importance of general support...
The image shows a white background with a pie chart depicting the importance of general support funding. The chart is divided into sections, each representing a different aspect of the funding, such as the type of funding available, the amount of money allocated, and the percentage of people who support it.

New fuel support package unveiled to ease petrol price pressures for working families

The Government has unveiled a new fuel support package to help working families struggling with high petrol prices. The scheme, announced on Tuesday, will provide weekly payments to eligible households starting from 7 April. Economists and advocates have already shared mixed reactions to the plan.

Under the new policy, around 143,000 households will receive a full $50 weekly payment. Another 14,000 will get a reduced amount. To qualify, families must meet work requirements—30 hours a week for couples or 20 hours for single parents—and not be on a main benefit.

The payments will continue until the price of 91 petrol stays below $3 a litre for four straight weeks or until a year has passed, whichever happens first. Funding for the scheme, estimated at up to $373 million, will come from the Budget 2026 operating allowance. Infometrics chief executive Brad Olsen called the plan well-timed and targeted. Simplicity economist Shamubeel Eaqub described it as surprisingly generous. However, Isaac Gunson from the Child Poverty Action Group criticised the exclusion of benefit-dependent families. Ministry of Social Development data from mid-2025 shows around 65,000 households on main benefits have children under 18.

The fuel support package aims to ease cost pressures for working families until petrol prices drop. Payments will begin in early April, with the scheme running for up to a year. The total cost will depend on how quickly fuel prices fall below the $3 threshold.

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