Mayor Max is hopeful the projected 10% rates increase for 2026 can be reduced down to just a 4% increase.

There was an article in the Daily News in early January that was good to read about at the start of 2026.

Reducing the projected 10% rates increase in 2026 down to just a 4% rates increase. 

Max Brough has been busy working with Council staff to find cost savings to bring the current planned 10% rates increase in July 2026 down to a 4% rates increase.

This is well ahead of when Simon Watts, the Minister of Local Government, is looking at bringing in local Council rates caps. Simon Watts is wanting Councils to transition to rates caps from 2027 – and have them in place by 2029.

Quoted by the Daily News. “Max Brough believes realistic savings are being found behind the scenes to reduce this year’s rates increase for the district.”

“Moving the projected rates increase from 10% to 4% equated to finding around $8 million in savings from the annual budget”

Max campaigned heavily last year to introduce a rates cap if elected.

Staff were asked last year to look at how this level of savings could be found in the Annual Budget, and asked to recheck those figures late last year, to make sure they are achievable.

Also quoted by the Daily News: “Staff had also been asked to put a more “realistic” target on how many renewal projects could be completed within the next financial year so council could budget accordingly”.

Rather than set rates for a range of projects which may not happen that year, Max has asked staff to review what projects are actually achievable in the next year, and then for the Council to set the rates based on what they are “actually going to do”.

Figures have not yet been released around this to the public as Councillors have not yet had the chance to go through them.

Although optimistic about work that has been done, Max warned that the Local Government sector can be unpredictable and something “could come out of left field” to alter the final figures.

The Alliance is very pleased to hear that these types of questions are being asked and a focus is being shifted to finding savings and keeping rates increases down.

This is the link to the Daily News Story:

https://www.thepost.co.nz/nz-news/360921846/np-mayor-confident-scaled-back-rate-increase-within-reach

Posted: Wed 14 Jan 2026

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