Rotorua's homeless night shelter, which was set to close on Thursday, has been thrown a lifeline with funding for an additional month.

With the funding now on a month-by-month basis, the shelter's future remains uncertain, but the Ministry of Housing and Urban Development says it will "make certain" the people using the night shelter continue to have support and accommodation should it close.

Deputy chief executive of public housing supply Scott Gallacher said it was the ministry's priority that no one went without shelter while it set up long-term services like Housing First, and brought in more housing and accommodation options for people in need.

"Over winter, we've been working with local providers and stakeholders to set up the Housing First service for Rotorua.

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"Providers have made great progress in developing a solution to offer long-term housing and support for homeless people in Rotorua, and we're looking forward to sharing more about that soon.

"We are also actively pursuing options that will make more accommodation available as transitional housing to support more people in need in Rotorua."

The Pukuatua St homeless shelter officially opened in August, following months of slow progress.

The shelter has run on donations and funding from organisations like the Ministry of Social Development.

It was in May that more than 120 people marched through the streets requesting a homeless shelter.

The shelter was established as a temporary solution to get people through the winter nights and was set to close on November 1.

Visions of a Charitable Trust's Tiny Deane, who runs the shelter, said funding has been found for an additional month.

Ministry of Social Development Bay of Plenty regional commissioner Mike Bryant said it visited the night shelter twice a week to check if there were any new people staying who may need help, as well as continuing to support the people it was already aware of.

"We also work closely with Tiny and his team to make sure if they come across anyone else who needs help, they're letting us know as soon as possible.

"We remain committed to addressing the housing needs of people using the shelter and are keen to help them find more permanent, long-term housing."

He said if the shelter did close, the ministry could also help the shelter's residents in the interim with transitional housing or emergency accommodation, like a motel, and could provide financial help and other support through Work and Income if needed.

"We also connect people with community providers to help with other wraparound services and really appreciate all the hard work our providers do in this difficult space."

MSD is part of Whiria Te Aroha – Rotorua Homeless Action Group, alongside other agencies and Rotorua Lakes Council.

A council spokeswoman said it was supporting a variety of efforts to address homelessness as part of its Homelessness Winter Action Plan.

This has included working towards a Housing First model and working with MSD to support a national homeless count.