Western Bay of Plenty City and Regional Deal
On 2 July 2025, a Memorandum of Understanding (MoU) was signed between the Western Bay of Plenty sub-region and central government, marking a significant step toward a potential City and Regional Deal partnership.
What’s a City and Regional Deal?
A City and Regional Deal is a government policy that aims to create long-term strategic partnerships between central and local government to help progress joint priorities, including economic growth and improving housing affordability, transport and social infrastructure.
The City and Regional Deal framework is based on a 30-year vision, with negotiated 10-year strategic plans to deliver the shared priorities agreed to.
The Western Bay of Plenty is one of three regions to be selected by central government to progress negotiations for a City and Regional Deal that will help unlock our sub-region’s full potential and address the needs of significant and ongoing population growth. The other regions selected to progress negotiations for a City and Regional Deal are Auckland and Otago Central Lakes.
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Where are we at in the process?
The Western Bay sub-region’s proposal was submitted in February 2025 and reflects a unified approach from Tauranga City Council, Western Bay of Plenty District Council, Bay of Plenty Regional Council, SmartGrowth Combined Tangata Whenua Forum, and economic development agency Priority One.
Our sub-region has well-developed and consulted plans through the work of SmartGrowth, in particular the Future Development Strategy, as well as strong alignment across government, so is well placed to implement a City and Regional Deal that will bring the best possible outcomes for the people of the Western Bay of Plenty.
With a MoU now signed with central government, our sub-region is working collaboratively to negotiate the terms of a City and Regional Deal.
A first deal is expected to be announced by the Government by the end of 2025, with the second and third deals likely to be announced in February/March 2026.
How would the City and Regional Deal work?
The Western Bay of Plenty is one of New Zealand’s fastest growing regions but growth comes with challenges. The intent of our City and Regional Deal is to help create opportunities for economic growth, jobs, new housing, and better, connected infrastructure across the region.
A City and Regional Deal would give our sub-region access to a long-term partnership with central government to tackle the real issues. It would provide an economic growth plan that has rigour, certainty and commitment, along with access to new funding and financing tools to manage growth and maintain liveability.
What’s in it for the people of the Western Bay of Plenty sub-region?
Our sub-region’s aspirations with the central government include:
- Delivering up to 40,000 homes
- Supporting the creation of 35,000 jobs
- Deliver real GDP growth of 4.5% per year.
A City and Regional Deal would help by:
- Delivering more housing to improve affordability.
- Attracting new businesses and investment.
- Improving regional transport connectivity.
- Supporting wage growth and job opportunities.
- Improving access to education, health care and other essential services.
- Unlock new funding and financing tools to manage growth and maintain liveability
- Certainty - certainty drives confidence, confidence drives investment.
Who's involved?
The partners of the deal are Tauranga City Council, Western Bay of Plenty District Council, Bay of Plenty Regional Council, SmartGrowth Combined Tangata Whenua Forum and Priority One.
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