Motels in Rotorua have earned more than $3.3 million in three months to put up homeless people but some businesses are concerned the city's tourism reputation is taking a battering.

Figures from the Ministry of Housing and Urban Development show the bill for Rotorua motels from April 2019 to June hit $3.36m in 2410 emergency housing grants up from $2.27m and 1852 emergency housing grants in the first quarter of the year.

Data also reveals over the same timeframes the waiting list for state houses has jumped from 240 to 305 applicants with one social agency describing the housing crisis

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