National is celebrating a breakthrough in negotiations, claiming they've agreed to policy deals with NZ First and ACT.

Despite what he called significant progress, Luxon wouldn’t say whether it was likely a Government could be formed by the end of the week.

Finance Minister-elect Nicola Willis says all three parties still need to sign off on a final deal before the new Government is formed.

"We're pleased that we've reached that significant milestone, because our focus has been on getting policy aligned this year. That's ultimately what the Government's going to be judged on."

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