Sexual violence is a pervasive issue in New Zealand, inflicting profound personal trauma and
imposing substantial economic burdens on individuals, the government, and society at large. A
comprehensive study commissioned by the Accident Compensation Corporation (ACC) and
conducted by Business and Economic Research Limited (BERL) in June 2021 provides an in-depth
analysis of these economic costs.
Total Economic Cost
The BERL report estimates that the total economic cost of sexual violence in New Zealand for the
year 2020 was approximately $6.9 billion.
This figure is divided into three primary categories:
• Costs to the Crown: $600 million
• Costs to Individuals: $5.2 billion
• Costs to Society: $1.1 billion
Breakdown of Costs
Costs to the Crown: These expenses encompass government expenditures related to
healthcare services, criminal justice proceedings, and social support systems. The report
highlights that the Ministry of Social Development incurs costs when survivors are unable to
work and require income support.
Costs to Individuals: Survivors of sexual violence face significant personal costs, including
lost income due to an inability to work, medical expenses, and the intangible yet profound
loss of a sense of safety and well-being. The report emphasizes that these intangible costs
are often underestimated despite their substantial impact on survivors’ lives.
Costs to Society: Beyond the immediate parties involved, sexual violence affects the broader
community through decreased productivity, increased healthcare demands, and the erosion
of social cohesion. The report notes that the widespread issue of sexual violence has
significant ramifications for society as a whole.
Methodology and Data Challenges
The report acknowledges the challenges in obtaining precise data due to underreporting and the
complex nature of sexual violence. It emphasizes that the true cost may be higher than
estimated, as many incidents go unreported, and the long-term effects are difficult to quantify.
The authors advocate for improved data collection and analysis to better understand and address
the issue.
Implications for Policy and Prevention
Understanding the economic impact of sexual violence underscores the urgency for effective
prevention and support strategies. Investing in education, community programs, and support
services not only aids survivors but also mitigates the broader economic and social costs. The
report serves as a call to action for policymakers, organizations, and communities to collaborate
in creating safer environments and comprehensive support systems.
Conclusion
The BERL report provides a crucial insight into the extensive economic repercussions of sexual
violence in New Zealand. By highlighting the substantial costs borne by individuals, the
government, and society, it reinforces the need for concerted efforts in prevention, support, and
policy development to address and reduce the incidence of sexual violence.
To view the full report, please visit
https://www.acc.co.nz/assets/research/berl-estimate-total-economic-costs-of-sexual-violence-in-new-zealand.pdf
Sir Ray will be creating a Vlog interviewing global thought leaders in the domestic violence and sexual
violence prevention and rehabilitation sectors. If you would be interested in being interviewed, please
contact gavin@helpathand.org.nz
