Covid-19 Response Minister Chris Hipkins says it is now "unlikely" Rotorua will get more managed isolation facilities given the community pushback.
Hipkins told Radio New Zealand this morning Rotorua was now "marginal" in terms of having more managed isolation facilities (MIQ).
"It is unlikely now that we would set up additional MIQ facilities in Rotorua given the strength of the feedback we have had from them."
He said more facilities were still needed as Auckland was at capacity.
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Rotorua mayor Steve Chadwick, the Lakes District Health Board, local MPs and iwi in the city had been among those objecting to adding new MIQ in Rotorua, saying the tourist town had done its fair share.
Rotorua has three MIQ facilities at the Sudima, Ibis and Rydges hotels.
Waiariki MP Rawiri Waititi claimed yesterday the Government was looking at two new facilities, including one for quarantine.
Today, joint head of MIQ Megan Main told the Rotorua Daily Post it had been looking at one facility in Rotorua and another in Christchurch, with a final decision to be made by Cabinet.
She also said the Ministry of Health had been working with DHBs to develop a community-based isolation and quarantine service to help people self-isolate without hotels or facilities in the event of a community outbreak.
A spokesman for Covid-19 Response Minister Chris Hipkins told the Rotorua Daily Post there were never two additional facilities being considered.
"No one knows where that came from," he said. "The Minister has said that a decision on the one that is being considered will be announced very soon."