Hon Simeon Brown
Minister of Local Government
Hon Chris Bishop
Minister of Infrastructure

Cabinet has agreed to invite all regions to submit proposals for Regional Deals between central and local government that drive economic growth and deliver the infrastructure our country needs, Local Government Minister Simeon Brown and Infrastructure Minister Chris Bishop say.

• Inviting all regions to propose a Regional Deal that boosts economic growth and establishes a pipeline of infrastructure.
• Finalising the first Regional Deal by December 2025.
• Progressing work to establish three Regional Deals by October 2026.

“New Zealand has a massive infrastructure deficit. Water pipes are bursting, roads have been falling apart, and there simply aren’t enough houses. With a growing population, it is critically important we are delivering the long-term infrastructure we need for growth in our cities and regions,” Mr Bishop says.

“It’s clear that these infrastructure challenges are being felt by communities across the country. That’s why Cabinet has agreed to extend the opportunity for all regions to apply for Regional Deals that will help unlock funding and financing tools, reduce regulatory barriers, and enable strong collaboration between central and local government to deliver the infrastructure New Zealanders need, sooner.”

“As part of our plan to rebuild the economy and address the infrastructure deficit, Regional Deals will be relentlessly focused on supporting economic growth, improving the supply of affordable housing, and establishing long-term commitments by both central and local government to enable certainty with a pipeline of infrastructure that delivers for New Zealanders,” Mr Brown says.

Regions will prepare light-touch proposals and work in partnership with central Government to determine when they will be ready to sign a deal.

“Ratepayers expect local government to focus on delivering the basics well, and our Government expects that councils spend ratepayers’ money responsibly when developing light-touch proposals. I’ve made it clear to councils that we expect practical and focused proposals centred around the key infrastructure, housing and transport priorities within each region which unlock economic growth, not glossy documents,” Mr Brown says.

“Invitations to submit a proposal for a Regional Deal will be sent to all councils this month. The Government will then prioritise the regions which have the most potential to deliver on the Government’s economic growth agenda. The Government’s intention is to have the first deal concluded by the end of 2025, with three deals expected to be in place by October 2026.

“Regional Deals will support long-term collaboration between central and local government, delivering a joint long-term vision for regions that will be focused on economic growth and productivity.

“Regional deals will support greater alignment between central and local government and help to unlock funding and financing tools to deliver a portfolio of critical upgrades to housing, roads, and other critical infrastructure to enable economic growth.”

Instituting long-term city and regional infrastructure deals is a Government priority and a commitment under the coalition agreement with ACT.

Notes:

• Attached: Simeon Brown – Speech to LGNZ combined sectors https://img.scoop.co.nz/media/pdfs/2411/Simeon_Brown__Speech_to_LGNZ_combined_sectors.pdf
• Councils will be invited to put together proposals as regions, or sub-regions, in order to ensure territorial authorities are working together on shared priorities.
• To reduce costs for ratepayers and achieve value for money, the Government will be providing template proposal forms to councils outlining the information needed for a region’s light-touch proposal.
• In June, the Government released the Regional Deals Strategic Framework to outline the priority objectives for Regional Deals.
• Building economic growth
• Delivering connected and resilient infrastructure
• Improving the supply of affordable and quality housing
• Councils’ initial proposals will be confidential until the point that a memorandum of understanding is entered into with a region.

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