Government advances housing growth reforms

The Government is moving ahead with reforms to accelerate housing development across New Zealand, with legislation that aims to increase land supply, streamline planning processes, and provide more flexibility to councils that meet long-term housing targets 

Housing and RMA Reform Minister Chris Bishop said the proposed changes to the Resource Management Act (RMA) via the The Resource Management (Consenting and Other System Changes) Amendment Bill, are designed to address persistent housing supply constraints by enabling more development-ready land and improving the way infrastructure is funded. 

“Fixing our housing crisis involves fixing the fundamentals of our housing market – freeing up land for development and removing unnecessary planning barriers, improving infrastructure funding and financing to support urban growth, and providing incentives for communities and councils to support growth,” said Bishop. 

“Next year, we’ll replace the RMA with a new planning system that makes it easier to plan and deliver the housing and infrastructure New Zealand needs. 

“[This] is an enormous opportunity to create a planning system that enables and encourages housing growth.” 

Thirty-year housing targets 

A key measure in the proposed legislation requires councils in high-growth areas – classified as Tier 1 and Tier 2 under the National Policy Statement on Urban Development – to zone sufficient land for at least 30 years of projected housing demand. 

Changes to medium density rules 

The Bill also removes the ability for councils to opt out of applying the Medium Density Residential Standards (MDRS), which were introduced in 2021 to enable more housing in existing urban areas. 

Localised approaches for Auckland and Christchurch 

The reforms also provide specific mechanisms for Auckland and Christchurch. Auckland Council will be permitted to withdraw its Plan Change 78, which implements the MDRS. The new plan must deliver at least the same housing capacity and include greater density around City Rail Link stations. 

“Bespoke legislative solutions have been designed for Auckland and Christchurch, reflected in the Resource Management (Consenting and Other System Changes) Amendment Bill recently reported back to Parliament,” said Bishop. 

Proposed changes in consultation 

Before legislation is passed, the Government is holding a public consultation on the Going for Housing Growth discussion document, which closes on 17 August 2025. 

The changes being consulted on include: 

• The establishment of Housing Growth Targets for Tier 1 and Tier 2 councils. 

• New rules making it easier for cities to expand outwards at the urban fringe. 

• A strengthening of the intensification provisions in the National Policy Statement on Urban Development (NPS-UD). 

• New rules requiring councils to enable a greater mixed-use zoning across our cities. 

• The abolition of minimum floor area and balcony requirements. 

• New provisions making MDRS optional for councils. 

Click on this link to have your say and to read the consultation document in full.