Prime Minister John Key has announced $244 million to build seven new schools around the country.
The money will be contained in the May budget and will be spread over four years.
Part of the money will be used for the first phase of new schools announced for Auckland last year.
The $244 million comes from the last of the funds raised through the Government's partial asset sales programme.
Listen to John Key
Mr Key said part of the funding would be used for the first phase of new schools announced for Auckland last year.
"It's all new money thought effectively comes out of the Future Investment Fund.
John Key after pre-budget speech to Business New Zealand function. Photo: RNZ / Alexander Robertson
Mr Key insisted the announcement was not just business as usual, but represented a commitment to improving schools' infrastructure.
"The $20 million per year - $80 million over four years for [research and development] is all new money and the Rolleston School sits over and above the $1.1 billion that was allocated to Christchurch."
The new schools will be in Auckland, Hamilton and Christchurch and three kura kaupapa will be built in Whakatane, Gisborne and Hastings.
Labour party leader Andrew Little said the Prime Minister's pre-budget announcement to build more schools was underwhelming and disappointing.
He said it was not good enough as a number of the new schools have been announced before.
"That's a re-heated announcement which is simply about the Government doing what a Government is expected to do which is keep up with a growth in population and make sure there are enough schools and places in schools for the growing number of children we have in the country."
Mr Little said the Government was trying to dress up business as usual.