A popular Queenstown beach has been deemed safe for swimming after concerns it may have been contaminated by wastewater.
The water quality at Sunshine Bay was under investigation after a wastewater overflow at the bottom of Arawata Terrace was reported to the local council on Monday, prompting warning signs to be installed as a precaution.
Queenstown Lakes District Council said test results have come back negative for contamination.
Infrastructure operations manager Simon Mason thanked the community for following the signs installed in the area.
The area remained safe for swimming and other recreational pursuits, he said.
The issue was caused by an overflowing manhole blocked by tree roots and it was reported to the regional council's pollution hotline, the council said.