The New Zealand Historic Places Trust is to receive $3 million this financial year for the establishment of a Historic Places Preservation Fund, and an increase in its operational funding.

Prime Minister and Minister for Arts, Culture and Heritage Helen Clark said that additional resources were urgently required if the Historic Places Trust is to fulfil its statutory mandate to protect and preserve historic sites.

"Under the previous National government the Historic Places Trust was significantly under-funded and forced to go through a painful restructuring process.

"This ideologically-driven meddling brought the organisation to its knees and seriously damaged its ability to care for and preserve New Zealand's historic sites. The new government has halted the destruction and is now rebuilding the Historic Places Trust.

"Firstly, the $3 million capital injection will provide for the establishment of the new Preservation Fund. This Fund comprises $1.25 million for deferred maintenance and development projects at Crown-owned properties managed by the Trust. There is also $1.25 million to set up a Maori heritage development fund, and $500,000 to upgrade and enhance the national register of New Zealand's heritage.

"In addition, the Trust will receive a $170,000 operating budget increase this year, and an annual budget increase of $500,000 in following years. This is primarily to enhance the Trust's heritage protection activities. For example, the extra funding will allow it to fulfil its statutory obligations in terms of prosecuting cases where the Historic Places Act is breached.

"Today's announcement will provide the Historic Places Trust with the resources it needs to identify, protect, preserve and conserve the historical and cultural heritage of New Zealand," Helen Clark said.