Govt Expands Social Housing Delivery with CHPs, Māori Partnerships and New Fund

The Government has unveiled a major update on the delivery of more than 2,000 new social homes across New Zealand, emphasising a stronger role for Community Housing Providers (CHPs), streamlined funding systems, and closer partnerships with Māori housing organisations. Housing Minister Chris Bishop and Associate Housing Minister Tama Potaka say the new approach is already yielding results in tackling long-standing housing pressures.

Allocating Homes Where They’re Needed Most

The update outlines how the 1,500 homes funded in Budget 2024 (for delivery between July 2025 and June 2027) and the 550 homes funded in Budget 2025 for Auckland will be allocated. These homes are in addition to the 6,800 net new social homes delivered since November 2023 by Kāinga Ora and CHPs.

HUD (Ministry of Housing and Urban Development) has based allocations on regional housing needs, factoring in social housing waitlists and emergency housing demand. This ensures homes are placed in communities where pressures are most acute.

Bishop said the focus was not only on numbers but also on the right type of homes:

• 48% will be one-bedroom homes, addressing the fact that nearly half of those on the social housing waitlist need smaller homes.

• 42% will be two-bedroom homes, supporting small families and couples.

• 22% will be accessible or accessibility-ready, designed for people with mobility needs.

This signals a deliberate move away from a “one-size-fits-all” approach to housing supply.

Partnering with Community Housing Providers

A key feature of the Government’s housing strategy is strengthening its partnership with CHPs. Five strategic providers have been allocated nearly half of the new homes funded through Budget 2024:

• Community of Refuge Trust Community Housing

• The Salvation Army

• Emerge Aotearoa

• Te Āhuru Mōwai

• Accessible Properties NZ

Bishop described these CHPs as “experienced and savvy partners” capable of delivering at scale. To help them expand more efficiently, the Government has introduced a $150 million lending facility through the Community Housing Funding Agency, lowering borrowing costs and enabling providers to reinvest savings into both housing and community services.

Flexible Fund Replaces Fragmented System

Another major reform is the creation of a Flexible Fund, replacing what Bishop called a confusing and duplicative set of housing funds accumulated over years.

The new fund, announced in Budget 2025, consists of:

• $41 million operating funding over four years

• $250 million capital funding over ten years

This fund, beginning in 2027, is expected to enable between 650 and 900 new homes (a mix of social and affordable rentals). By consolidating resources, the Government says it can direct investment where it is most needed, using a range of providers including CHPs, Māori providers, and Kāinga Ora.

Progress on Housing Outcomes

The Ministers highlighted progress made since late 2023:

• Private sector rent growth is now the lowest since October 2023.

• The social housing register has dropped from 25,483 in November 2023 to 19,297 today.

• More than 1,041 households and 2,200 children have been moved out of motels and into permanent housing through the Priority One fast-track scheme.

Bishop said while progress is visible, long-term housing affordability also depends on reforming New Zealand’s planning and infrastructure funding systems. The Going for Housing Growth initiative and wider planning reforms are intended to unlock more land and enable large-scale development.

Supporting Māori Housing Providers

Associate Minister Tama Potaka emphasised the role of Māori providers in addressing housing inequities. Earlier this year, the Government accelerated $200 million to build 400 homes in high-need areas such as Te Tai Tokerau, Taranaki, and Waikato.

So far, nearly 350 affordable rentals have already been approved through partnerships with Māori providers, including projects at Ōwhata Kōhanga Rakau in Rotorua and Toitū Tairāwhiti on the East Coast.

Potaka said these initiatives were transforming lives:

“We hear from whānau how proper housing leads to healthier communities, stronger school attendance, and regular mahi. These homes make a tangible difference.”

He added that Māori housing providers and CHPs will be eligible to access the new Flexible Fund, acknowledging their proven track record in delivering high-quality housing.

A Long-Term Vision

The Government’s evolving strategy seeks to resolve immediate pressures in social housing while building a more resilient system. By focusing on the right homes in the right places for the right people, partnering with capable community providers, and reshaping funding structures, Ministers argue they are laying the foundation for long-term stability.

Bishop concluded:

“Ultimately the root cause of our housing crisis is a planning system that has stymied housing growth, coupled with broken infrastructure financing. These reforms are about creating a system where affordable and social housing is delivered consistently, sustainably, and at scale.”