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Social Security Act 2018

Enforcement: sanctions and offences - Sanctions for breach of obligations other than young person or young parent obligations - Hierarchy of sanctions

238: Sanction for third failure: cancellation of main benefit

You could also call this:

"If you break the rules three times, your main benefit will stop for 13 weeks."

If you fail to meet your obligations three times, the Ministry of Social Development must cancel your main benefit. When your main benefit is cancelled, you are not entitled to receive any main benefit for 13 weeks from the date of cancellation. You must apply for the benefit again and show you are eligible to get it back.

This rule applies to you, but there are some exceptions, which are explained in sections 243, 245 to 248, and 320 to 324. You can find more information about these exceptions by reading those sections. These exceptions might affect how this rule applies to you.

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237: Sanction for second failure: suspension of main benefit, or

"If you don't meet your obligations twice, your main benefit will be stopped until you meet them again."

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239: Continuation of sanction following regrant of specified benefit, or

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Part 5Enforcement: sanctions and offences
Sanctions for breach of obligations other than young person or young parent obligations: Hierarchy of sanctions

238Sanction for third failure: cancellation of main benefit

  1. For a third failure by a person (P), MSD must cancel P’s main benefit.

  2. On cancellation under this section of P’s main benefit,—

  3. P is not entitled to receive any main benefit under this Act for 13 weeks from the date of cancellation; and
    1. to be again entitled to a main benefit under this Act, P must apply for the benefit and establish that P is eligible for it.

      1. This section is subject to sections 243, 245 to 248, and 320 to 324.

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      Notes
      • Section 238: amended, on , by section 20 of the Social Security Amendment Act 2025 (2025 No 25).