2 April, 2026

We are consulting on our draft Annual Plan 2026/2027 from 2 April until 3 May. The Plan proposes an average rates revenue increase of 9.9%, while maintaining our current service levels and day-to-day operations.

The proposed rates revenue increase has been set in time of significant change for local government. Across the country, councils are responding to new expectations, major sector reforms, and growing financial pressures.

In Tasman, we are facing rising costs from interest rates, depreciation requirements following updated asset valuations, insurance costs, the impacts of the 2025 weather events, Government-mandated compliance changes for water supply and resource management, and increased costs to maintain our waters, roading networks, parks and reserves. Without any changes, these pressures would have resulted in an 11.2% rates revenue increase.

In response, The Mayor and Councillors worked closely with staff to review the work programmes and budgets for 2026/2027 and identify ways to reduce costs where possible and limit the impact on ratepayers resulting in the proposed 9.9% rates revenue increase.

Councils are now providing two rates figures – ‘Three Waters’ and ‘Rest of Council Business’ – to reflect the changes to water delivery services and this year we’re including a third figure to reflect the cost of recovery from last year’s weather events.

A breakdown of the 9.9% figure is 2.3% dedicated to storm recovery, then Three Waters at 5.3% and the rest of business 2.3%.

This rates increase is consistent with the Government's proposed rate cap, which would apply to non-water rates.

In shaping this year’s Annual Plan, we have focused on managing the immediate pressures and adapting our plans and budgets accordingly. We are proposing a new rate to recover the costs of the 2025 weather events, adjusting operating budgets, rephasing parts of the capital work programme, slowing the planned funding of deprecation for our roading assets and increasing most fees and charges by 7%.

Planning for our future requires important discussions with our community, as the decisions we make over the next year will shape the future of Tasman – how we fund and deliver essential services, respond to environmental pressures, and support are livable, sustainable, and future-ready communities.

The consultation document explains how we propose to respond to current challenges while balancing the services you value with an equitable approach to rates.

Formal consultation on the draft Annual Plan 2026-2027 is open until 03 May. We look forward to your contribution.

Have your say at shape.tasman.govt.nz/annual-plan.

Copies of the consultation document and draft fees and charges are also available at our service centres and libraries

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