Big rates increases and possible asset sales on Christchurch City agenda
Christchurch ratepayers face a big hit
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Scrutiny Week
Christchurch City Council is proposing rates increases of 8-9% over three years plus asset sales to the tune of $750 million.
The average weekly rates bill, which is $39.09, would jump to over $50 over the three-year period.
Over 10 years, Christchurch rates would move close to Auckland's.
However, the average earnings of Christchurch households is less than Auckland’s, the extent depending on various statistical measures.
The southern city risks losing residents, especially retirees, to other districts such as nearby Rangiora and Kaiapoi if rates become unrealistic.
Final decisions depend on public consultation and the longer term forecasts may change.
High on the list for review are some of the amenity projects which remain on the books – a new central city library, swimming pools, service levels, metro sports stadium and multi-million dollar rugby stadium as envisaged in the Canterbury Earthquake Recovery Authority rebuild plan.
Asset sales are historically among the least favoured solutions and factions are already lining up to oppose them.
Largely ignored so far is Environment Canterbury's planned 5% rates increase largely for rural water-related subsidies. It adds nearly 10% to rates bills.
The increases are planned as inflation reaches its lowest levels in New Zealand’s history at below 1%.
Chris Hutching
Fri, 27 Feb 2015
Fri, 27 Feb 2015
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Big rates increases and possible asset sales on Christchurch City agenda
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