Demolition continues at an iconic Dunedin landmark, being knocked down to make way for a new billion-dollar hospital

The city's Cadbury site was the last of the confectionery giant's buildings in Dunedin, after its distribution centre was toppled last year.

It'll be replaced by the New Dunedin Hospital - the largest-ever hospital built in New Zealand.

Ministry of Health health infrastructure programme director, Mike Barns, says it'll transform how healthcare is delivered across the region.

The demolition started at the end of March and will take several more weeks.