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A new direction for social housing in New Zealand

The Government has started a long term programme to transform the social and affordable housing sector.

The Social Housing Reform Programme aims to deliver more homes that will better meet the requirements of those in need, while that need lasts, and more choices for those people.

The Ministry is responsible for leading the social housing reform programme, working closely with:

  • Social Housing Unit
  • Ministry for Social Development
  • Housing New Zealand Corporation
  • Treasury
  • State Services Commission
  • Te Puni Kokiri
  • Ministry of Pacific Island Affairs.

To support the new direction for social housing, the Ministry (formerly the Department of Building and Housing) became responsible for social housing policy advice to the Government from July 2011.

A four-person Ministerial Advisory Panel will give Ministers independent advice on progress with the reform programme.

‘Social housing’ is a subset of affordable housing, which is targeted at people who face many barriers to housing in the mainstream rental market.

‘Affordable housing’ is housing that people with minimal financial assets and low to moderate incomes can afford to occupy.

On this page:

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Need for change

The need for change was clearly set out in a report by the Housing Shareholders Advisory Group, published in April 2010. The Group, which included social and community housing specialists, developers and others from the commercial sector, made 19 recommendations on how to achieve better results in social housing.

The report identified some key issues:

  • current social housing (including state housing) is not sustainable – it is failing to meet the needs of a growing number of New Zealand households, and is becoming increasingly unaffordable for the Government
  • housing supply issues are making housing less affordable and increasing the demand for social housing
  • government financial assistance with housing is not the same for state and non-state houses, is not enough to meet market rents in some areas, and may not be supporting good housing outcomes
  • the location, size and condition of many state houses don’t match demand
  • there are not enough large scale or specialist non-Government social housing providers.

Home and Housed - A Vision for Social Housing in New Zealand [PDF 1.33 MB, 96 pages], report by the Housing Shareholders Advisory Group, April 2010

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Government decisions

After public consultation, the Government agreed to a major programme of reform to address these issues in December 2010. The reform programme has four major outcomes:

  • greater involvement of third-sector providers of social housing
  • Housing New Zealand focussed on providing social housing to those with high needs, while their need lasts
  • increased effectiveness of financial assistance
  • aligning organisation and responsibilities of government agencies.

Submissions by stakeholders on the Housing Shareholders Advisory Group report [PDF 2.8 MB, 85 pages]
Cabinet Social Policy Committee - Response to Housing Shareholders Advisory Group report (re-released) [PDF 1.6 MB, 41 pages]
Minister of Housing's press release on the new direction for social housingBeehive website. , December 2010.

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Social Housing Unit

A new Social Housing Unit was set up in July 2011. The Unit allocates funding and facilitates partnerships, to increase the supply of social and affordable housing for New Zealanders.

View the Social Housing Unit websiteSocial Housing Unit website. .

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Housing New Zealand Corporation

Housing New Zealand is focussing on housing those in greatest need, while that need lasts. This means moving away from a ‘state house for life’ toward providing housing while people are in need.

New state house tenants since 1 July 2011 have reviewable tenancies. As their circumstances improve, they will be supported to find alternative accommodation.

The criteria for deciding who should live in a state house were changed on 1 July 2011, to focus on people in greatest need.

Housing New Zealand is also making changes to state houses so they are better matched to people’s changing needs: houses that are the right size, in the right place, and the right condition.

View the Housing New Zealand websiteHousing New Zealand website. .

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Māori housing providers

A number of Māori organisations are already successfully providing housing for their people, and the Social Housing Reform Programme aims to encourage more housing for Māori.

We are working with Te Puni Kōkiri to develop the role of Māori organisations as providers of social housing. This includes reducing the barriers to building housing on multiply-owned Māori land and improving rural housing.

View Improving Māori housing - Te whakapai i te Whare noho Māori

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Pacific providers

The Ministry and the Ministry for Pacific Island Affairs will develop recommendations on how to build the capacity of Pacific providers who already have capital and strong governance in place, so they can play an active part in the social housing reform programme.

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Financial assistance for tenants

The Housing Shareholders Advisory Group report recommended a review of financial assistance for social housing tenants, and this issue is being considered by Government.

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Housing needs assessment

The Housing Shareholders Advisory Group report recommended changes to housing needs assessment. To deliver better support outcomes for people, the possibility of assessing their need for social housing as part of a broader social needs assessment is being considered by Government.

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