Len Brown to propose 2.9% rates increase
Proposed rise for Auckland smaller than last year but still well above CPI.
Proposed rise for Auckland smaller than last year but still well above CPI.
Auckland mayor Len Brown will propose an average 2.9% rates increase for this year, down from last year's 3.6% average increase but well above inflation.
Mr Brown will take his proposal to the Auckland Council's strategy and finance committee meeting on Thursday and says he is determined to see rate rises driven down for the third year running.
However, some ratepayers will get a bigger increase than others because of the three-year transition period from the rating systems of previous councils.
And while the proposed rise is smaller than previous years, it is still more than three times the current Consumer Price Index annual inflation of 0.9% as measured by Statistics New Zealand.
“By cutting costs and driving greater efficiency, Auckland’s rates rises have been lower every year for the past three years, without compromising the services Aucklanders rely on,” Mr Brown says.
“In 2010, Aucklanders faced a 9% rise in rates. For the previous seven years their rates had gone up nearly 6% a year on average. This was not a credible or sustainable pattern.
“From day one I’ve been determined to drive down annual rates increases in Auckland to a more sustainable level.
"I have also worked hard to make the adjustment to a single rate required in legislation as manageable as possible for Aucklanders by spreading it over a three-year period.”
Auckland rates increases:
2005/06-2009/10 5.7%
2010 9% forecast rate increase from Auckland Transition Authority
2011-12 3.9%
2012-13 3.6%
2013-14 2.9%
National average rates increases 2002-12: 6.8%