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Maori Party MP Marama Fox says the wants to fix the Kainga Whenua housing scheme.
The scheme was launched with great fanfare several years ago as a way to allow Maori to build houses on their papakainga.
By securing an arrangement with Kiwibank, it got around the problem of mortgage lenders refusing to make loans involving multiply-owned land.
But only 11 houses have been funded under the scheme.
Mrs Fox says what should have been a game changer got bogged down in red tape and bureaucracy.
"Some of the things holding people back is the fact you can go and get a loan but it's dependant on how much income you have and if you are low income then you end up getting a loan for maybe $80,000 but anyone who thinks you can buy a house for $80,000, that’s just not realistic" she says.
Mrs Fox says the issue has been put back on the table for discussion with the government.
FOR THE FULL INTERVIEW WITH MARAMA FOX CLICK ON THE LINK
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