Media release
22 June 2026
As KiwiSaver financial hardship applications continue to soar, Public Trust, the country’s biggest KiwiSaver supervisor, has launched a new online system to streamline the process for Kiwi applying to withdraw from their KiwiSaver for hardship or serious illness.
Hardship application volumes across the industry exceeded 58,000 in 2025 – double the number recorded just two years ago. Data from IRD shows serious illness account closures have increased 69% from 2022 to 2025. Public Trust’s new system for its KiwiSaver clients speeds up the process to give KiwiSaver members in need faster access to their funds; and introduces greater visibility around timelines, better communication, and additional guidance on the process.
Booster KiwiSaver Scheme was the first provider on board, followed by Koura. Four more providers will come on board in the next month, with the intention that the remainder of Public Trust’s KiwiSaver provider clients will move to the system.
“Behind these figures are real people in financial distress or with serious health issues, and KiwiSaver providers struggling to keep up with the demand,” David Callanan, Public Trust’s General Manager Corporate Trustee Services says.
“The new system aims to deliver better outcomes for Kiwi and for our providers. Critically, it means we can better meet the unprecedented demand now and into the future. Replacing manual processes frees up the time of all those working in this space to focus on what they do best – working with the care and expertise that this critical process demands,” Callanan says.
As the country’s biggest KiwiSaver supervisor, Public Trust protects the interests of Kiwi investors by supporting fund managers to meet their regulatory obligations. The new ‘RegTech’ system uses innovative technology to streamline and manage this important process, consistent with regulatory compliance obligations.
The new system marks a significant change to the way these applications are processed for our KiwiSaver clients and their members. While the process has changed, the requirements for these applications remain the same, balancing the need to withdraw for essential living costs or medical care alongside a robust framework to help protect a member’s investment in the long term.
Callanan says the new system directly answers the call made by Te Ara Ahunga Ora Retirement Commission in its latest Review of Retirement Income Policies to make hardship withdrawals easier and more consistent for those who need help.
Key benefits of the new initiative include:
KiwiSaver members will have faster access to money
Due to the surge in applications, some KiwiSaver providers are experiencing backlogs, delaying access to urgently needed funds for essential living costs and medical care. The system uses Akahu software to allow for easier reading and categorisation of a member’s bank statements, which is speeding up the assessment process.
“Each application represents a Kiwi finding life challenging, and Public Trust is committed to helping resolve these delays,” Callanan says.
A fully digital, guided member journey
Reviewing applications and supporting documents is time-consuming, often requiring multiple rounds of clarification. The system replaces paper-based and email-driven processes with an intuitive online application. Members are guided through eligibility criteria and documentation requirements upfront with improved communication, reducing confusion and improving application quality. Members can track the status of their application in real time, reducing uncertainty and anxiety. Clear communication and timeline expectations are embedded throughout the process.
“Providers have told us they are concerned about delays caused by manual systems and we’ve worked to find a solution. So far, the system is freeing up time and resources, and removing a lot of complexity,” says Callanan.
Improved data and insights
We anticipate significant opportunities for the industry through enhanced data insights. “The new system should bring greater confidence in the data, replacing the current manual collection process across multiple providers, each with similar but slightly different ways of doing things. A consistent approach to data collection through the system should help deliver richer insights to inform future policy,” Callanan says.
Public Trust developed the new system with technology partners Section6, Ghost Dynamics and Akahu.
Public Trust currently acts as the independent supervisor for approximately $50 billion in KiwiSaver funds, serving 14 KiwiSaver schemes, including four of the six default providers.
About Public Trust
Public Trust is New Zealand’s largest provider of trustee and estate administration services. Established 150 years ago, Public Trust is a self-funding autonomous Crown entity. Our unique role is to empower all Kiwi to build and protect their legacies.
We provide trustee and comprehensive estate administration services for individuals through our Retail business, and corporate trustee, supervisory and custodial services through our Corporate Trustee Services business. Our Corporate Trustee Services business has $128.6 billion consolidated funds under supervision (as at 30 June 2025); $57.9 billion of which is KiwiSaver.
We also have an important part to play in the charitable trust sector. Our Investment team manages around $1.5 billion of funds (as at 30 June 2025), primarily for charities, estate beneficiaries, and students (through our Fee Protect service).
ENDS
High-res images are available on request.
David Callanan is available for interviews.
Please contact: Claire Connell, External Communications Specialist, [email protected], +64 9 304 1831