Compassionate exemptions have been suspended for people in managed isolation.

Two women who arrived from the UK on June 7 have tested positive for covid 19 - after being allowed to travel to Wellington on June 13 after a relative died.

Health Minister David Clark says the suspension's to ensure the system is working and won't be reinstated until the Government has confidence in the system.

He says compassionate exemptions should be rare and rigorous - and it appear this case didn't include checks that were expected.

Meanwhile, a report has called to slash the number of DHB's by up to half, create a new Crown entity - and introduce a Maori Health Authority.

Those are some of the recommendations in a groundbreaking review of the Health and Disability System - led by Helen Clark's former chief of staff Heather Simpson.

It confirms health services are under stress - and the system is complex and fragmented.

The review recommends cutting the number of DHBs from 20 - to between 8 to 12 within five years - and bringing in a new operational Crown entity called Health NZ.

Listen to Josie Pagani and Neil Miller talk with Heather du Plessis-Allan about these orders above