The Government’s plan to limit council rates rises to four per cent will inevitably lead to poorer local service provision, and communities being worse off.
“This is little more than a distraction tactic, and it will come at the expense of our communities across Aotearoa,” says the Green Party's Local Government spokesperson, Celia Wade-Brown.
“Capping rates does nothing to fix the decades of significant underinvestment in local infrastructure, or the lack of alternative funding models across successive governments. It’s also completely at odds with the Government’s so-called ‘localism approach’.
“Regular people rely on local services like libraries, pools, and recreation centres, each of which make a real, tangible difference in the lives of New Zealanders. In fact, Local Government is responsible for 25 per cent of public infrastructure. But councils are already struggling to fund these services and the infrastructure which support them.
“A huge driver of rate increases has been long-running failures to invest in proper infrastructure. The Government’s policies have only worsened this issue.
“Today, the Government has effectively scapegoated local councils to distract from the cost-of-living pressures their own policies have made worse.
“This blunt instrument will almost certainly lead to increasing fees and charges which will be regressive for those on lowest incomes.
“Local Government can thrive if it has the tools available to properly fund services in their communities,” says Celia Wade-Brown.
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