Building and Construction Minister Chris Penk has announced a dramatic 80% reduction in processing times for critical building determinations, cutting delays from an average of 516 days in September 2023 to just 111 days by November 2024. The improvement marks a major milestone in the Government’s push to resolve New Zealand’s housing shortage and boost economic growth.
Faster Resolutions Unblock Housing Pipeline
Determinations—legally binding decisions by the Ministry of Business, Innovation and Employment (MBIE)—resolve disputes between builders and councils over compliance issues, enabling stalled projects to proceed. These rulings are vital for advancing innovative construction methods and materials while clarifying standards for complex cases.
“Lengthy delays in determinations have been a roadblock to building the homes Kiwis need,” Minister Penk said. “Reducing wait times from nearly 18 months to under four months means fewer projects stuck in limbo, lower costs, and more certainty for builders and councils alike.”
Addressing a Systemic Challenge
In late 2023, backlogged determinations averaged 500 days, exacerbating New Zealand’s housing crisis by delaying construction starts and inflating costs. Minister Penk attributed the turnaround to MBIE’s targeted reforms, including streamlined processes, prioritization of older complex cases, and improved resource allocation.
“While determination applications have increased, MBIE’s focus on efficiency is delivering results,” he noted. “This progress reflects our commitment to tackling bureaucratic bottlenecks head-on.”
Sector Confidence and Economic Growth
The construction sector, a cornerstone of New Zealand’s economy, stands to benefit from reduced uncertainty. “Every delayed determination means delayed jobs, delayed homes, and delayed economic growth,” Minister Penk emphasized. “By accelerating these decisions, we’re not just building houses—we’re creating jobs, lowering costs, and restoring confidence in the system.”
Ongoing Improvements
Despite the progress, the Minister acknowledged further work is needed. “An 80% reduction is significant, but we won’t stop here. MBIE will continue refining processes to drive wait times down even more, ensuring determinations support—not hinder—innovation and housing supply.”
The initiative aligns with broader government efforts to streamline consenting, reduce red tape, and incentivize construction of affordable, high-quality homes.
