The government has green-lit a new medical school at the University of Waikato, ending months of delays due to coalition wrangling.
But the announcement on Monday also heralded several significant shifts from National's original campaign promise.
In a statement, Health Minister Simeon Brown said Cabinet had approved $82.85 million in government funding toward the project, with the university chipping in more than $150m.
The numbers differ from National's policy heading into the 2023 election. Then, it pledged $280m for a third medical school at Waikato University, with the university to raise a further $100m.
The school would also open in 2028, a year later than National had promised, but still with an initial roll of 120 students.
Brown said that would be a "significant boost" to the homegrown medical workforce and came on top of the 100 extra training places being added this term at Auckland and Otago universities.
Treasury earlier this year rubbished the plans as "unaffordable" and "rushed".
However, the government says the new school will "more students the opportunity to study medicine in New Zealand”.
"It's an innovative model that supports our focus on strengthening primary care, making it easier for people to see their doctor - helping Kiwis stay well and out of hospital," Brown said
Universities Minister Shane Reti said the decision was a major milestone and real boost for tertiary education in Waikato.
"By expanding access to medical training, we're creating new opportunities for students from across the region and beyond, while also helping to future-proof the local workforce."
The proposal was controversial from the outset. Both Auckland and Otago universities argued they could train more students at a lower cost.
Act also raised concerns. During coalition talks, it secured a commitment that the project would not go ahead without a detailed cost-benefit analysis.
In August last year, Act leader David Seymour said he was "dissatisfied" with the initial evaluation and cited Treasury advice that the proposal did not offer value for money.
In a statement on Monday, the Act Party said it had saved the taxpayer hundreds of millions of dollars, with Seymour saying it was "down to Waikato University agreeing to contribute a higher proportion of the medical school's costs".
"Act's rigorous questioning helped ensure a more efficient investment meaning Kiwis get better outcomes for less," he said.
"Act insisted that a full cost-benefit analysis be done before signing off on such a large investment. We demanded better planning, transparency, and accountability. We raised concerns about the initial analysis failing to consider other options to address the issue.
"As a result, officials and Waikato University revised their assumptions, refined the proposal, and delivered a plan that achieves the goal of more doctors trained for rural communities at a significantly lower cost to taxpayers.
"Act has always said we must save money where it counts so we can invest where it matters. This improved investment is a great example, with more money left in your back pocket and a solution found."
