12 skydivers waiting to complete a parachute jump in New Zealand had a lucky escape when they were forced to jump from their crashing plane.

Just after midday, the dozen skydivers aboard the light aircraft jumped out and deployed their parachutes just moments before it crashed into Lake Taupo on the North Island. The pilot, who alerted the passengers the plane was going down, also jumped to safety.

There are no reports of any injuries.

David Trewavas, the mayor of Taupo, told the New Zealand Herald that the plane came into difficulty at 1300 meters, and that the pilot realised the only option for his passengers was to jump before it crashed.

"All the precautions were taken and they evacuated the plane safely. The plane then crashed into the lake," Mr Trewavas said.

Taupo harbourmaster Philip King told Fairfax Media the plane, bright pink and belonging to the Taupo Skydive company, sank in 3.5 metres of water after crashing into the lake.

"The skydivers had already jumped," Mr King said. "The pilot ejected later and ended up in the blackberry ... The fire brigade were there with ladders, they had to cut their way in there. Everyone made it out — no serious injuries at all."

Onlookers at the scene rushed to help the skydivers using boats, witnesses said.