Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 


Government needs to act to control councils

Crisis time for ratepayers – Government needs to act to control councils.

Ratepayers in New Zealand’s two biggest cities are facing substantial rates increases over the next few years.

Christchurch’s problems arise mostly from the earthquakes of three years ago, while Auckland’s problems are self-inflicted by the council’s spending decisions.

The councils of both cities have made it clear that rates increases are inevitable unless ‘alternative funding sources’ are found.

Councils and central Government have made similar noises over the seven years since the Independent Rates Inquiry of 2007, but no solutions are in sight.

A few weeks ago Local Government New Zealand announced it was to investigate additional funding sources for councils, but not alternative funding sources.

Both Christchurch and Auckland are demanding more funding from central Government and it now seems inevitable that the funding of local councils will become a political football in election year.

It is almost universally accepted that the current rating system is unfair and inequitable, but councils and central Government are reluctant to make changes because rates are ‘easy to collect and almost impossible to avoid’.

The need for change is now reaching a crisis level as councils’ debt levels rise, and interest on that debt is forming an increasing percentage of rates collected.

Until solutions to these problems are found there is one clear cut option open to all councils - reduce expenditure on non-essential services and projects which are funded from rates.

Central Government is ultimately responsible for local government and must use its powers to bring local councils to heel and bring financial relief to ratepayers.

ends

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

PARLIAMENT TODAY:

Transport Report: LGNZ Calls For Proactive Approach To Mobilise Regions

LGNZ has today released Mobilising the Regions, its major transport study, which highlights the economic and social impact of strategic transport decisions nationally and in the regions, and the direct link between regional development, national prosperity, social well-being and cohesiveness. More>>

ALSO:

Transport: New Rules Bring Double-Deckers To Our Cities

New rules that allow buses, including double-deckers, to carry more people will ramp up the public transport offering in our cities, Transport Minister Simon Bridges and Associate Transport Minister Craig Foss say. More>>

ALSO:

Cycling:


Images & Video: Four Alternative Flags For Referendum

Flag Consideration Panel chair, Professor John Burrows, said the Panel’s decision had been guided first and foremost by the results of its engagement programme across a range of communities where thousands of Kiwis shared what was special about New Zealand, as well as the Panel’s own selection criteria. More>>

ALSO:

Labour: New Figures Show Speculators Rampant

New figures released by the Reserve Bank show there’s been an explosion in mortgage lending with most of the growth going to property investors, Labour’s Housing spokesperson Phil Twyford says. More>>

ALSO:

False Official Information Response: English's Apology Accepted

Finance Minister Bill English is being thanked for his apology to New Zealand First Leader and Member of Parliament for Northland Rt Hon Winston Peters... Mr English says his staff and the Treasury have searched again, and they found the document that they denied having. More>>

ALSO:

Midwives On Pay Equity: Historic Bill Of Rights Case For High Court

“We have been left with no choice.” That from Karen Guilliland, the Chief Executive of the New Zealand College of Midwives, as the organisation prepares to file a pay parity discrimination case on the basis of gender under the NZ Bill of Rights Act in the High Court. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Politics
Search Scoop  
 
 
Powered by Vodafone
NZ independent news