Regional councillors would be scrapped under sweeping Government proposals that ministers say would deliver the most significant changes to the local government system in more than 35 years.
Under the proposal, the 11 regional councils would be governed by “combined territories boards” made up of mayors from city and district councils within each region, rather than separately elected regional councillors.
RMA Reform Minister Chris Bishop said: “The Government’s belief is that local government has lost the social licence and that New Zealanders have lost faith in local government. This is borne out by the fact that over half don’t bother to vote in local elections.”
He said the changes were “the most significant changes to local government since 1989”.
“When citizens vote for their mayor, they are choosing who they want to lead local representation for the next three years. Most people know their mayor. Few could name the chairperson of their regional council, or even a regional councillor,” Bishop said.
“Combined territories boards would empower mayors from the same region to work together to govern their regions through genuine regional collaboration.
“It would streamline regional decision-making across planning, infrastructure, and regulation, reduce duplication, and strengthen accountability.”
The proposals, released for public consultation until February 20, would see mayors collectively take over regional council governance functions, including environmental management, public transport planning, and civil defence.
Local Government Minister Simon Watts said the changes would “cut duplication, reduce costs, and streamline decision-making”.
“By removing regional councils, we can deliver more efficient services, greater accountability, and better value for every dollar spent,” he said.
Under the preferred model, mayors on the combined territories boards would have voting power based on population, adjusted by the Local Government Commission to ensure all communities received “effective” and “fair representation”.
For certain resource management decisions, a dual threshold would apply, requiring both a majority of population-weighted votes and a majority of board members.
Regional reorganisation plans
The second stage of the proposed reforms would require each combined territories board to prepare a regional reorganisation plan within two years, assessing how councils could work together more effectively.
Options could include shared services, council-owned companies, reallocating functions, or merging territorial authorities to form new unitary councils.
Examples of actions that could feature is proposed regional reorganisation plans includes councils in a region establishing a single roading agency that has “more power to bargain with big national roading companies when agreeing contracts”.
Others could include two very small councils joining together but agreeing to establish neighbourhood assemblies that have their own budget for parks, libraries, and events.
These reorganisation plans would be assessed against criteria including supporting national priorities like housing and infrastructure, financial sustainability, better service delivery, and upholding Treaty settlement commitments.
Ministers would approve the plans rather than putting them to referendums, which was deemed “costly and slow” with low voter turnout that favoured the status quo.
Bishop said he expected some regions to embrace the opportunity for change.
“I have had local councillors and mayors say to me, you just got to make us do this,” he said. “They actually want central government to provide leadership, and that’s what we’re doing.”
The proposals do not affect Auckland Council, which already operates as a unitary authority. Other unitary authorities can choose whether to develop reorganisation plans.
Iwi representation
The reforms would see the end of Māori constituencies at the regional level, as regional councillors would no longer exist.
When asked whether iwi would have representation on the new boards, Bishop said: “There’s no mandatory role for iwi representation on the combined territories boards.”
“The Government’s view is that we don’t agree with separate representation in that regard.”
All existing Treaty settlement commitments administered by regional councils would be carried over to the combined territories boards, according to the RMA Minister.
Te Pāti Māori has labelled the proposals a potential “power grab”, though Bishop said critics were commenting without having read the consultation document.
‘Losing the voice of local communities’ – Labour
Watts said the proposal hadn’t previously been canvassed with Labour as it was market-sensitive, but that the Government was clear in wanting to consult.
“We’ll be having a conversation and working through the detail. I think it is important in the context of local government that we have enduring reform,” he said.
Labour was quick to express scepticism about the new model. Local government spokesperson Tangi Utikere said: “Christopher Luxon talked a lot about empowering local communities, yet these changes strip away a key layer of local decision-making.
“Labour supports simplifying local government, but not at the cost of losing the voice of local communities. Replacing regional councils with ministers or appointed commissioners shifts power further away from communities, not closer.
“National is also removing the option of polls or referenda to decide on local changes.
“The Government has already limited community input through the fast-track law. Taking away another avenue for local say will only reduce oversight and weaken accountability.”
Meanwhile, Local Government NZ said it was important the new plan had buy-in.
“Rural and urban communities, along with our natural resources, face growing threats from weather events, biosecurity risks, pollution, water scarcity, transport and infrastructure challenges,” said chairperson of LGNZ’s regional sector Deon Swiggs.
Interim chief executive Scott Necklen said: “It’s important that once-in-a-generation change has strong buy in. It must be workable – and ratepayers must get bang for buck from any new local government system.”
Implementation timeline
The Government plans to make final decisions in March 2026, with legislation to be introduced around the middle of next year.
Bishop acknowledged it would be “tricky” to pass the legislation before the election.
The proposal also leaves open whether currently elected regional councillors would serve out their three-year terms to 2028, or whether their roles would be abolished if the combined territories boards were to take effect before then.
When asked about the democratic fairness of cutting short elected terms, Bishop said: “Well, you either do change or you don’t.
“The status quo can’t remain locked in formaldehyde forever.”
