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Aucklanders are about to be hit by a their largest rate increase in 13 years, as the council grapples with balancing inflation, a gaping budget hole and extreme weather events.
As of July 1, Auckland homeowners whose home is of average value will be paying an extra $253 in rates each year, or around $5 a week – a 7.7% increase.
While it’s not the lowest rates rise in the country, it’s certainly not the largest. A quick whip around the country shows the same theme emerging: we are all feeling the squeeze.
6.41% – Christchurch City Council
Christchurch comes in at the lowest of all the metro areas, with an average rates increase of 6.41%.
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The increase for the average residential ratepayer will be 6.60%, or an extra $4.01 a week, a steep decrease from the possible 14.6% increase the council were debating “late last year”.
“[We] are very aware of the importance of reducing the burden council’s rates place on households given the increasing cost of living, especially for those on low and fixed incomes,” Christchurch mayor Phil Mauger said.
Stuff
Councils across the country are tightening the purse strings.
“The economic landscape has been shifting a fair bit, and will continue to, but we’ve locked in a rates increase that compares favourably with what you’ll see in other cities around New Zealand,” Mauger said.
7% – Waikato District Council
Like other councils, Waikato District Council increased their rates due to “uncertainties in our economy”.
“The general rate increase is a direct response to external factors that have significantly impacted our ability to continue delivering services and maintaining infrastructure,” the council said in a statement.
This increase would “allow [Waikato] to keep pace with rising costs and ensure the uninterrupted delivery of essential services our residents rely on daily”.
Stuff
Christchurch Mayor Phil Mauger said Christchurch’s increase compared favourably to other cities in New Zealand.
12.3% – Wellington City Council
Wellingtonians will be paying an average of $8 per household a week, due to their 12.3% increase in rates.
Mayor Tory Whanau said the council had to handle “major cost pressures” while “doing what we can to keep rates in line with forecasts”.
Key projects in Wellington’s budget include significant investment in water infrastructure and transport network, continuing the construction of the city’s new Te Matapihi ki te Ao Nui Central Library and strengthening the Town Hall.
BRUCE MACKAY/The Post
Mayor of Wellington, Tory Whanau.
14.2% – Queenstown Lakes District Council (QLDC)
QLDC battled the same problems as all other councils when determining their rates, with the final figure jumping from 13.6% in their draft annual plan, to 14.2%.
“Every council around the country is facing the same pressures of rising inflation, high interest rates and global supply challenges,” QLDC’s general manager for assurance, finance and risk Stewart Burns said.
Burns said despite QLDC increasing fees for parking, building consents and animal registration, the “higher-than-expected” rate increase had to be made.
“We acknowledge this comes at a very difficult time for many people, but it is prudent in terms of avoiding potentially larger rates increases in future years.”
Debbie Jamieson/The Press
Queenstown residents are facing a steep rates increase of 14.2%.
18.8% – Otago Regional Council
Coming out on top with one of the steepest rate increases in the country is Otago Regional Council, at 18.8%.
Regional council chairwoman Gretchen Robertson said the council knew any rate increase would be difficult for their community, as this was “a tough time for people”.
“However, the council is also affected by inflation on wages and goods and services, which is also a national problem,” Robertson said.
“The positive investment ratepayers make is never taken for granted.”
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