Australian Deputy Prime Minister Michael McCormack has announced an Australian-New Zealand travel bubble to new South Wales and Northern Territory from October 16.

He said NSW and the Northern Territory would welcome Kiwi travellers, saying the decision was taken on the best medical advice.

McCormick said the arrangement would take place from a minute after midnight on October 16, saying it would be welcome with "our New Zealand friends" and people in the two states.

He said South Australia was ready to participate and would probably be the next cab off the rank.

The move would free up an extra 325 spaces for Australians to return home.

He said Ardern wanted to have Australians going to New Zealand and the conditions for that were a matter for her.

Australia's Prime Minister Scott Morrison told the National Press Club in Canberra today that New Zealanders were "very, very welcome" to spend money in New South Wales and South Australia.

However, he said he would not be able to announce Australians could travel to New Zealand, as that was New Zealand's problem to solve.

Jacinda Ardern told reporters at Labour's housing and resource management policy announcement on Friday afternoon that it was still too unsafe to be opening New Zealand's borders to Australia.

"In our view we are not ready to have quarantine-free travel with Australia. They have a very different strategy to us, and so they're making that decision ... but for now we of course have to keep our New Zealanders safe."

She urged New Zealanders to spend their tourism dollars domestically, and cautioned that those going to would have to go through isolation when returning.

"I encourage New Zealanders to think about spending their dollars here locally."

She says the pressure for New Zealand to open up has been "the same the whole way through", implying that Australian states opening their borders would not affect her decision.

"The National Party in particular have called for us ... to open up the border. We have resisted that because we want to keep New Zealanders safe. We will not open the borders for quarantine-free travel with Australia until it is safe to do so because doing it too early risks losing all of the freedoms we already have in our economy."

- RNZ