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The Associate Minister for Homelessness, Marama Davidson, says getting people out of emergency accommodation and into transitional and permanent housing is a priority.
Complaints are growing about the condition and safety of placing homeless families in motels and hotels, which is a programme overseen by the Ministry for Social Development.
Ms Davidson says there needs to be better ways to monitor those activities and what government is getting for its money.
Many motel owners remove facilities like fridges or stoves, so families have to live on takeaways, and block access to other amenities like gyms and swimming pools.
"The message is you're not worthy, you're not very valuable as humans, but we are going to make some money from your misery," Ms Davidson says.
She says families are being crammed into single rooms or studio units, and they need to get into more appropriate housing as soon as possible.
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