A new acute services building will be the first stage of work to get underway in the redevelopment of Nelson Hospital

An initial 73 million dollars of Government funding will enable work to progress on a new acute services and inpatient building featuring 255 beds, eight theatres and a larger emergency department.

Health Minister Ayesha Verrall says the hospital is in desperate need of replacement.

She says the facilities are older - making it difficult to care for patients.

Enabling works starts next year and construction in 2026.