Although priding itself on high rates of literacy achievement, New Zealand's track record in the last two decades has noticeably declined. Successive New Zealand governments have invested heavily in trying to redress this decline with limited success. Demographic changes in population due to immigration provide a partial explanation, but arguably, inconsistencies and omissions in policies and curriculum for early childhood and primary education are also factors to be considered further. Evidence regarding New Zealand's effectiveness in promoting literacy since the early 1990s is explored, against a potential policy framework for the Early Years, identifying the challenges and pressing issues for change.