Police and Corrections Minister Judith Collins has praised officers who helped bring a hostage drama to a peaceful conclusion at Paremoremo Prison last night.

"I am very proud of the work by our Police and Corrections officers who skilfully brought an extremely volatile incident to a conclusion without injury to staff or either of the prisoners involved," Ms Collins said.

"Incidents such as this demonstrate the bravery and operational expertise that makes our Police and Corrections staff among the finest in the world. It reminds us of the dangers they face every day while keeping the public safe.

"Hostage situations such as this are rare in New Zealand, and the response was testament to the skills and training of both Police and Corrections officers.

"I would like to thank Police for the support they provided Corrections staff, and acknowledge the great work of Corrections staff in managing a dangerous and unpredictable situation.

"I have spoken to Corrections Chief Executive Barry Matthews and Police Commissioner Howard Broad about what can be done to fully acknowledge the courage and professionalism of all those involved."

The incident started after prisoner George Baker took another prisoner hostage at 3.00pm yesterday. The hostage was freed at approximately 1.45am after Baker gave himself up.