By Kaaren Joubert, Planning Manager, Cato Bolam Consultants.
We have been receiving a steady rise in interest about granny flats recently, so we thought it a good time to share an update on what is changing and when.
The Government has now passed the Building and Construction (Small Stand-alone Dwellings) Amendment Act 2025. This confirms a building consent exemption for simple standalone dwellings, including granny flats, up to 70 m². Ministry of Business, Innovation and Employment (MBIE) has indicated the exemption will come into force through supporting regulations in early 2026, with recent updates suggesting it is likely to start in the first quarter of 2026.
What changes in early 2026 (building consent):
A granny flat may be built without a building consent if all of the following conditions are met:
- One storey only, simple layout and lightweight construction.
- Must meet the Building Code in full, even without a consent.
- Work must be carried out or supervised by Licensed Building Practitioners and licensed trades.
- Council must be notified before construction starts and again when work is completed.
- Development contributions and servicing requirements still apply and will be assessed through the council notification (PIM) process.
Please note, setbacks and site placement rules will apply as part of the resource consent assessment.
Furthermore, overlays, natural hazards, servicing constraints, earthworks, or district plan limits on additional dwellings may trigger a resource consent.
Until the commencement date, granny flats still require a building consent, even if they would meet the future exemption conditions.
Resource consent exemption: still not locked in
This is the bit generating real confusion. Minister Chris Bishop has publicly stated that resource consents will no longer be required for compliant granny flats, and the government’s news releases signal that national direction under the Resource Management Act (RMA) is intended to remove resource consent requirements by the end of 2025. However, the resource consent change has not yet been passed into law. Ministry for the Environment (MfE) has reiterated that the planning exemption is still in the proposal stage, likely through a National Environmental Standard or updated national direction. In other words, the building consent exemption is confirmed, while the resource consent exemption remains pending and is not guaranteed in its final form.
Further reading:
Building.govt.nz/building-consent-exemptions-for-small-standalone-dwellings
Changes to allow granny flats to be built without a building consent | Building Performance
Underconstruction-placemakers-lack-of-clarity-over-granny-flat-resource-consent-exemptions
Enabling more housing: National direction on granny flats and papakāinga | Beehive.govt.nz
Next steps:
If a small standalone dwelling is in your plans, now is a good time to confirm feasibility, site constraints, servicing, hazards, and a compliant design. That way, you are ready to move quickly once the building consent exemption starts, while staying realistic about whether a resource consent may still be required on your site.
Our expert team can help you map the best pathway for your site and timing. Get in touch to book an obligation-free discovery call.
