New Zealand's social assistance system does not meet the needs of people experiencing persistent disadvantage.

For these people, the issue is not only that many of them have low levels of material resources. They also have limited conversion factors, by which we mean a low ability to convert the resources they have into a life they value. A modest increase in resources is unlikely to significantly affect conversion factors or outcomes. People experiencing persistent disadvantage need something different.

For people with multiple, complex needs, the answer is not just to give them more resources. What is required is a combination of improving the responsiveness of existing systems, better navigation, and increased resourcing for adaptive, more effective approaches.

The authors suggest that the government adopt an iterative approach, initially partnering with existing providers with a track record of working with people experiencing persistent disadvantage and expanding over time, building on experience. The amounts of funding allocated should be realistic, based on the experience of these providers and the complex needs of the communities they serve.