The final government contract held for emergency housing motels in Rotorua has ended today, marking the official shutdown of the system.
Associate Housing Minister Tama Potaka celebrated the end of the contracted housing system, though the final residents were moved out in November.
"With the final whānau rehoused last month, all contracted motels are already preparing to return to the market,” he said in a media release.

"Under the previous government, families – including those raising children – became stuck in temporary living arrangements with no end in sight.
"We promised real change for whānau and individuals so they could move into stable homes, and we have delivered."
While contracted emergency housing has ended in the city, emergency housing remains available in Rotorua, as a "last-resort option," though the coalition has tightened requirements for who may be ineligible for support in the past two years.
In 2022, TVNZ Sunday reporter Kristin Hall exposed allegations of grim living conditions and exploitation in contracted motels on Fenton St.
When Covid-19 hit hard, Rotorua’s famous gateway, the motels of Fenton St, went from holiday to emergency housing. (Source: 1News)
Rotorua MP Todd McClay said the Government had delivered on an election promise to close the contracted emergency housing motels.
"Families are now in proper homes, and Rotorua finally has the fresh start it deserves. This is what so many in the community have been fighting for," he said.
"This is the end of homeless motels. We now have our town back."
Concerns remain for people without homes
But the Salvation Army's Darnielle Hoods told Breakfast last month that there are still many whānau who are unhoused with unclear futures.
Concerns remained ongoing for people sleeping rough and the support they needed.
Meanwhile, Labour housing spokesperson Kieran McAnulty has previously criticised Potaka for celebrating developments in the past year.

"The gall of Tama Potaka to celebrate the housing crisis today is astounding when frontline providers and the Rotorua Lakes Council have reported a significant increase in rough sleeping in Rotorua," he said last month.
“Everyone can see homelessness has increased. All he is celebrating today is shifting people from emergency housing to out the front of families’ homes and businesses.
"The Government has made an active decision to put people on the streets. Emergency housing grants are being declined at record rates, the Government are putting people on the streets to save face and save their bad budgeting."
Potaka is an Associate Housing Minister (Social Housing), Minister for Māori Development, and Minister of Conservation. (Source: Q and A)
Potaka told Breakfast last month: "These contracts were due to expire in December, and we’ve spent the year working with Iwi, agencies, and providers to move whānau into safer, more stable options.
"Over the last 12 months, 175 Rotorua households have shifted from contracted emergency housing into social or transitional housing, private rentals, or reconnected with whānau, including 120 into social housing.
"Rotorua still has housing pressures, but ending motel use does not mean more people on the streets. People are accessing long-term housing, some are choosing to live with family, and a few have relocated."
Q+A's Whena Owen takes a look at changes to emergency housing and public housing policy. (Source: 1News)
In September, ministers encouraged Ministry of Social Development (MSD) staff to use "greater discretion" when assessing emergency housing applications.
At the time, Potaka said the Government would hold the line on its "firm but fair" requirements, but that he was "making it clearer to those staff that they should feel empowered" when determining whether someone would qualify.
It came after widespread reports from frontline organisations of a rise in rough sleeping and homelessness following the eligibility changes.






















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