A major overhaul of social housing will see costs for renters going up.

From next April, 30 percent state tenants' income will go into rent - up from 25 percent, about $31 dollars more a week.

That'll be re-invested into increasing the Accommodation Supplement.

Housing Minister Chris Bishop says the Government wants to reduce social housing costs, saying it's not getting bang for buck on what it spends.

NZ Herald political editor Thomas Coughlan explained further.

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