Air New Zealand has been named the best airline in the world by luxury travel magazine Conde Nast Traveler.

The airline moved up two places from last year, when it was named as the third best airline in the world in the magazine's annual Readers' Choice Awards.

It was followed by Qatar Airways in second place and Singapore Airlines in third.
Air New Zealand was lauded for paying close attention to seat comfort on some of the longest flights in the world.

"Legroom is ample on its wide-body planes, and they also boast lie-flat economy seats-or "Skycouch," which becomes a pull-out double bed," CN Traveler wrote.

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"Business fliers on a budget can opt for the premium economy "Spaceseat," a pod-like seat with extra legroom. And all classes get that famed New Zealand wine."

Two New Zealand hotels were also named in the Top Hotels in Australia and New Zealand category.

The George, a boutique hotel in Christchurch, came in at number seven - the only Kiwi hotel to make the top ten.

Auckland's The Langham also made the list at number 12.