February 11, 2025

Government Granny Flat Proposal Draws Unprecedented Public Response

A record-breaking 1,970 submissions have been received on the Government’s proposal to simplify the construction of granny flats, announced RMA Reform Minister Chris Bishop and Building and Construction Minister Chris Penk. The initiative, part of the National-NZ First Coalition Agreement, seeks to exempt granny flats up to 60 square metres from resource and building consent requirements, aiming to address housing shortages and reduce regulatory barriers.

Historic Engagement Reflects Public Demand for Change
“This consultation generated the highest level of public engagement ever seen in a building and construction policy review—more than double the previous record of 800 submissions,” Minister Penk stated.

Minister Bishop highlighted the significance of the feedback: “Homeowners and industry professionals, who made up two-thirds of respondents, overwhelmingly identified council processes as overly burdensome. The Government agrees, and these proposals are a critical step in our broader strategy to streamline housing development, improve infrastructure funding, and cut red tape.”

Key Themes from Submissions
The summary of submissions, released today, revealed strong support for easing restrictions, with many advocating for expanded provisions. Submitters called for:

  • Inclusion of home extensions, tiny homes, and properties without existing dwellings.
  • Larger or multiple granny flats per site, particularly to support papakāinga (Māori communal housing) initiatives.
  • A risk-based consenting approach to prioritize safety while accelerating low-risk projects.

Iwi and hapū submissions emphasized the policy’s potential social and economic benefits for Māori communities, aligning with the Government’s goal of fostering culturally responsive housing solutions.

Financial Savings and Consumer Protections
Of respondents, 55% projected cost savings under the proposed changes:

  • 19% estimated savings exceeding $15,000.
  • 15% anticipated savings between 3,000and3,000and15,000.

“While cutting costs and delays is essential, maintaining quality and safety remains paramount,” Minister Penk noted. “We’re committed to balancing efficiency with robust consumer protections to ensure public confidence in building standards.”

Next Steps and Legislative Timeline
The Government will integrate feedback into final policy design, addressing concerns around environmental risks and structural integrity. Legislation to amend the Building Act 2004 is expected in 2025, alongside new National Environmental Standards for granny flats.

“This is about creating an enabling system that supports growth without compromising vital safeguards,” Minister Bishop concluded. “We thank all submitters for their valuable input as we work to deliver smarter, faster housing solutions.”