The Government has announced it will boost the compensation for the wrongfully imprisoned man Teina Pora by almost $1 million.

Pora was declared innocent of the 1992 rape and murder of Susan Burdett, a crime he was arrested for in 1993 and finally cleared of by the Privy Council in 2015. He spent two decades in prison for a crime he didn't commit.

Pora is set to receive an extra $988,099 in compensation as an inflation adjustment, bringing his total compensation package to $3,509,048.42.

LAWRENCE SMITH/STUFF The Government will boost compensation for wrongfully imprisoned man Teina Pora. Something the previous government refused to do.

He would also receive $45,000 in costs from his successful judicial review of the last National Government's refusal to adjust for inflation.

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Justice Minister Andrew Little made the announcement on Wednesday morning after Pora's legal team approved the deal on Tuesday night.

ANDY JACKSON/STUFF Andrew Little said Pora was a victim of "one of New Zealand's worst miscarriages of justice".

Little said Pora was a victim of "one of New Zealand's worst miscarriages of justice".

"He was robbed of more than two decades of his life, languishing in prison for crimes he did not commit. These were years when Mr Pora could have been working to build his future and his family.

"I am grateful to Teina Pora for his positive engagement with the new government, and we wish him all the best for a better future."

"This brings all claims by Teina Pora against the Crown arising out of his wrongful convictions to an end," he said.

PORA'S TEAM REACTS

Tim McKinnel, a private investigator who worked on getting Pora released from prison, and his lawyer Jonathan Krebs spoke to media on Pora's behalf on Wednesday.

McKinnel said Pora was "absolutely thrilled and quite emotional" about the additional compensation and was keen to "thank the Andrew guy who is fixing it all".

He said for the first time on Wednesday Pora felt "free".

Pora also wanted to thank Prime Minister Jacinda Ardern, his legal team and the journalists who had followed his case and helped get him released.

"It's an incredible day and has been a long time coming," he said.

"It's over now. In terms of his legal case there's nothing more to fight for."

Krebs made a special mention of McKinnel, who spent years fighting to get Pora free, and said he was the "single hero" in this whole case.

THE ORIGINAL DEAL

Pora had originally been given almost $2.5 million compensation under the National government.

The compensation was subject to Judicial Review because it wasn't adjusted for inflation and the High Court agreed the previous Cabinet should have made the adjustments.

While the Judicial Review had recommended $600,000 in inflation-adjusted compensation, Little said the Government had gone further than that.

"I'm pleased to say that this matter is at an end. Now justice has been done."

Little hadn't spoken to Pora directly but said at some point that would be appropriate if he was willing to do so.

The Government wasn't concerned it would set a precedent and open the floodgates on other wrongful imprisonment cases.

Little said the money would give Pora "some scope for getting his life back on track" and reconnecting with his family.

"Who can put a price on nearly 20 years of a young life that is spent behind bars for a crime a young person didn't commit?"

"Three-and-a-half million dollars, is that still enough for 20 years behind bars for a crime he didn't commit? I think people will have different thoughts about that," he said.

What was "unusual" about this case was that compensation was considered on figures that were 17 years old, Little said.

CRIMINAL CASES REVIEW COMMISSION

A Criminal Cases Review Commission would be set up in the next couple of years, which is part of Labour's coalition agreement with NZ First.

Little said both he and Ardern had a "commitment to putting this right".

While he commended the former government for giving Pora compensation, he said it was "disappointing" it wasn't inflation-adjusted.

"We were both determined to put this right. It was an easy thing to do and pretty much as soon as I got my warrant I got the officials in and said right...let's get this process going."

Little said fixing Pora's wrongful conviction took a "champion" like McKinnel.

He said that's why he was keen on the Commission being set up because it accepted the "criminal justice system can get it wrong and does get it wrong".

"Getting justice should not rely on well-meaning, well-motivated people like Tim Mckinnel to be the crusader to get you justice.

"Because justice might now have been done for Teina Pora, but there will be others who are in prison at the moment, who don't have a champion but are entitled to have a system to put right the things that the criminal justice system does wrong."