Te Aka Whai Ora, in partnership with Te Whatu Ora, is pleased to implement targeted investment for primary care, to address the burden of under-funding for Māori and Pacific providers and enable them to continue delivering high-quality services. 

This is part of the Budget 22 initiative ‘Primary Care Funding Formula – Equity Adjustments to Capitation’ and will allocate $12.758m in FY 22/23 and $24.414m in FY 23/24 and beyond to Māori and Pacific providers and specific practices based on their enrolled Māori and Pacific (high needs) populations.  

This comes about following the Waitangi Tribunal WAI2575 report and the subsequent Sapere Capitation Review which criticised the capitation funding system in New Zealand for not considering important factors such as ethnicity, socio-economic status, and age when distributing funds to primary healthcare providers.   

“Transformation of primary and community care funding structures holds significant potential to Māori providers,” says Chief Executive of Te Aka Whai Ora, Riana Manuel.

“We know that our hauora Māori partners tend to have a higher proportion of patients with complex health needs and higher rates of chronic illnesses, and as such the current funding formula is neither adequate nor fair.”

Riana acknowledges that whilst this doesn’t solve the problem, it’s a step in the right direction towards addressing the current shortfall in the funding formula, which is part of a longer-term primary and community care funding review.

“Our providers are committed, innovative and responsive to the whānau and communities they serve, and we’ll be working with them to form long term solutions for the constant daily hurdles they face to care for whānau and continue to operate,” says Tipa Mahuta, Te Aka Whai Ora Chair. 

“This is one way Te Aka Whai Ora will support them, providing some uplift for those providers, whilst we work towards a permanent solution.”