Wellington councillors shocked at 16% rates rise proposal

4:54 pm on 24 May 2021

Wellington city councillors are gobsmacked at a proposal to lift rates by 16 percent next year, saying it has come completely out of the blue.

Wellington Mayor Andy Foster and deputy mayor Sarah Free.

Photo: RNZ / Dom Thomas

The capital city had consulted on a rise of 13.53 percent as part of its long-term plan, but extra costs were added in on Friday lifting the proposal to 15.99 percent.

The costs included $1.8m for the regional council, $1.2m for the Kiwi Point Quarry and $1.2m for the Pōneke Promise - changes and upgrades to make the central city safer.

Councillor Nicola Young said the updated proposal was shocking.

"I have been concerned for quite some time that councillors seem to have a Father Christmas wishlist, as indeed do a lot of Wellingtonians and they need to think about where the money is coming from.

"The proposed rates rise has put this in stark reality."

She did not support increased debt and said cutting costs was the best option.

"I think we have to look at where we cut service levels and look at our staffing costs. We need to start looking internally and externally because some of these projects are really good, really important, but we have to fund ways of cutting costs not just putting our hands into ratepayers' pockets."

Wellington Mayor Andy Foster would not say if he supported the rise.

"At this stage, I'm just going to be listening to all of that feedback from officers, from our public and from councillors and then we come to a final conclusion at least at a committee level at the end of the week."

Southern ward councillor Fleur Fitzsimons also opposed the proposal, but did think lifting debt levels was appropriate.

"Now is the time where money is cheaper than usual and where the challenges facing Wellington are generational. Not just challenges facing us in the next year.

"We can't put the burden on ratepayers in just one year - that wasn't previously signalled. There's no denying that there's a lot to be done in Wellington, but the cost of that must be spread over many years, not just one big lump sum increase."

She said changing the figure after consulting made a mockery of the process.

The proposal will be discussed at the long-term plan committee meeting on Thursday.

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