Questions are being asked about the finances of a Whangarei charter school.

Labour MP Chris Hipkins has levelled questions at Education Minister Hekia Parata in Parliament over He Puna Marama Trust which operates a charter school in Whangarei.

LISTEN: Chris Hipkins speaks with Mike Hosking above

He wants to know why it received $3.9 million in Government funding last year, yet its audited accounts show it spent only $1.4 million on education.

Parata reports "a number of the partnership schools have been leasing properties while they prepare to build. That is the case in the particular school whose accounts the member is selectively quoting."

Parata said funding is benchmarked against what's given to decile three schools.

"Their performance in terms of delivering education outcomes is also compared with decile three schools and on average they are doing better."

Chris Hipkins reports his only interest is in making the education sector the best it can be.

"I would never wish failure on any part of the education system. I hope every part of the education system succeeds, but I think from a government policy perspective we should be working hard to make sure we don't build in design flaws into the system."