Greater Wellington sets 3.8% rates increase for 2009/10 year

Greater Wellington Regional Council today decided to increase its rates income by 3.8% for the 2009/10 financial year. The proposed increase is an average across all properties in the region, so some residents will pay more or less than this amount. Variables include the local level of targeted rates for work such as flood management schemes or transport, changes in valuation relative to other areas and change in the number of rateable properties.

Greater Wellington also receives income from a water levy, charged directly to Hutt, Porirua, Upper Hutt and Wellington city councils, which pass on the cost to consumers through their rates. No increase in this levy is planned for 2009/10, which means that the net impact of Greater Wellington charges on the average household next year will be an increase of about 2.9%.

Greater Wellington’s rates will account for around 30% of its income next year, with approximately 60% coming from government subsidies on various activities, especially transport, and the remaining 10% from user charges, interest and dividends. Public transport fares (which are targeted to cover about 50% of the cost of running the services) are not included in these user charges.
The rates for the next financial year were finalised by Greater Wellington after public recent public consultation on its Proposed 10-Year Plan.