Whanganui’s rates rise low compared to those around the country

Published on 20 June 2024

View featuring the Whanganui River

Whanganui District Council has calculated its provisional average rates rise after decisions were made on its Long-Term Plan and at 11.2 percent it is lower than the 16 percent current average amongst councils around the country.

Whanganui Mayor Andrew Tripe says, “I’m pleased we’ve managed to keep our rates rise lower than the current national average and the big increases proposed by some other centres, such as 17 percent in Hamilton and Wellington, 25 percent in Hastings and 27 percent on the West Coast.”

He says rates have gone up a lot more this year because costs have shot up for councils due to inflation.

“As just one example, the cost per kilometre for road resealing has more than doubled over the past six years.”

“When we crunched the numbers last year we could see Whanganui District Council’s average rates increase for the 2024/25 year was heading for 17 percent which we thought was too high for our community. We took decisive action, formulating a six-point plan to reduce costs – and our provisional average rates rise of 11.2 percent shows the plan has worked.”

The rates rise is provisional because it’s not final until the council formally adopts the Long-Term Plan and rates resolution for 2024/25 on 16 July, taking into account property and valuation growth through to 30 June.

Mayor Andrew says, “Bear in mind we’re talking averages and rates vary from one property to the next, depending on the type of property, its size, valuation, and the services provided to it.”

He says the community had some strong opinions for and against various issues this Long-Term Plan and he knows the outcome won’t please everyone.

“Elected representatives worked hard to listen to the community and this can be seen where we adjusted our positions or found new options to suit the community’s needs. We take community feedback very seriously but in some cases there are other important factors to take into account when making decisions.”

Key projects that will not go ahead in response to community feedback are the hotel and carpark and the crossing at Pākaitore. Service cuts have been made to reduce the immediate rates rise in year one.

Mayor Andrew says the council has managed to keep the rates rise lower while committing to strong investment in core infrastructure over time, with around 80 percent of council spending over 10 years going on stormwater, wastewater, drinking water, and roading.

“This means we will be focusing on doing the basics well so we can keep our pipes and treatment plant in good condition and maintain roads and footpaths as our community asked, as well as starting the business case to replace the Dublin Street Bridge.

“Whanganui is in great heart and we’re investing in community-building projects to make this corner of the world an even better place to live. Because many households are still experiencing cost pressures, we’ve scheduled our community-building projects to start in later years when the economic situation is expected to have improved – this means these projects will have no impact on this year’s rates.”

Community building projects include putting money towards the Wanganui Surf Lifeguard Service’s new operations centre and tower facility, enhancing the Splash Centre, contributing to funding for the North Mole rejuvenation and new amenities, replacing the running track and improving lighting and drainage at Cooks Gardens, and investing in playground replacements across the district.

“Marae play a crucial role in assisting with our district’s civil defence response when emergencies happen so we’ve put some funding towards repairs and improvements for marae as well from 2027/28.

“Community contract funding has also been increased so more organisations can partner with the council to provide services that improve community health, safety and wellbeing.”

Mayor Andrew says if you are reading this with concern about how you can pay your rates, please call 06 349 0001 or email rates@whanganui.govt.nz to talk to the council’s rates team.

“Many people find it easier to pay rates bit by bit with a direct debit going out weekly or fortnightly, rather than paying in instalments, so that might be worth considering.

“This Long-Term Plan won’t please everyone but we’re confident it strikes a good balance between keeping rates as affordable as possible for residents and in later years investing in our ambitious and energised district so Whanganui is well-positioned for the future.”

 

 

 

Tagged as: