Local Govt | National News Video | Parliament Headlines | Politics Headlines | Search


Council Rates Increases Now Unsustainable

media release 14 June 2006

statement from David Thornton

Council Rates Increases Now Unsustainable

Time to Get Rid of ‘Magna Carta’ System of Tax Gathering

The Federated Farmers survey of council rates increases reveals that the average increase across 83 district, city and regional councils is between 7-8% for each of the next three years.

While Federated Farmers advocate greater funding from central government for roading projects, they also want to see urban ratepayers paying a bigger share of rates. The Farmers are also calling for changes to the way local government as a whole is funded.

Similarly BusinessNZ and the NZ Business Roundtable are also taking up the call for reform of funding and a reduction in ‘excessive council spending’.

Residential ratepayers are currently the hardest-hit group of ratepayers in the councry and any shift of the rates burden away from rural and business ratepayers will impact severely on the residential ratepayer.

In the three years since the 2003 ‘ratepayers rebellion’ against ARC rate increases,this Association, and others have called for governments at central, regional and local level to make fundamental changes to the way local councils are funded.

Now that the ‘heavies’ such as Federated Farmers and the Roundtable have finally come round to our point of view it is time we all worked together to rescue our local democratic institutions from impending fiscal collapse.

The present system of taxing individuals on the basis of their property value dates back to the Magna Carta which was signed on June 15th 1215 – exactly 891years ago. This is no longer sustainable.

It is high time we changed to a system which recognises the ability to pay, gives value for money, and puts restraints on local councils spending.


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines

Veronika Meduna: The Kaikoura Rebuild

A Scoop Foundation Investigation

Friday will be a big day for people north of Kaikōura – and for hundreds of construction workers who are racing to reopen State Highway 1 in time for the holiday season.

By the afternoon, the South Island’s main transport corridor will be open to traffic again, more than a year after a magnitude 7.8 earthquake mangled bridges and tunnels, twisted rail tracks and buried sections of the road under massive landslides. More>>


BPS HYEFU WYSIWYG: Labour's Budget Plans, Families Package

“Today we are announcing the full details of the Government’s Families Package. This is paid for by rejecting National’s tax cuts and instead targeting spending at those who need it most. It will lift 88,000 children out of poverty by 2021." More>>


Gordon Campbell: On Defence Spending, Alabama, And Dolly Parton

The spending lavished on Defence projects to meet the risks that could maybe, possibly, theoretically face New Zealand in future is breath-taking, given how successive governments have been reluctant to spend even a fraction of those amounts on the nation’s actual social needs. More>>


Members' Bills: End Of Life Choice Bill Passes First Reading

The End of Life Choice Bill in the name of David Seymour has been sent to a select committee for consideration by 76 votes to 44. It is the third time Parliament has voted on the issue in recent decades and the first time such a Bill has made it over the first hurdle. More>>


State Sector: MPI Survives Defrag Of Portfolios

The Ministry for Primary Industries will not be split under the new government, but will instead serve as an overarching body for four portfolio-based entities focused on fisheries, forestry, biosecurity and food safety. More>>


Gordon Campbell: On Vulnerable Kids, RNZ Funding, And Poppy

The decision to remove the word ‘vulnerable’ from the Ministry for Vulnerable Children could well mark a whole shift in approach to the care of children in need... More>>





Featured InfoPages