Otago Daily Times

Coun­cil bud­get hole grows

- Business · Auckland Region · Auckland International Airport Limited · New Zealand · Auckland Council · Phil Goff

Auck­land: The Auck­land Coun­cil is now fore­cast­ing a $1 bil­lion hole in its fi­nances by 2024 from the im­pact of Covid­19.

The coun­cil pro­duced an emer­gency bud­get in July to cope with a

$450 mil­lion deficit this fi­nan­cial year, but work by fi­nance of­fi­cers forecast this could grow by $540 mil­lion over the next three years.

Auck­land Mayor Phil Goff said about 60% of the coun­cil’s in­come came from sources other than rates, such as con­certs and vis­i­tor at­trac­tions, op­er­a­tions at Ports of Auck­land and div­i­dends from Auck­land Air­port shares.

He said these in­come sources had taken a big hit, and on the as­sump­tion bor­ders could be closed for an­other two years, the lat­est coun­cil forecast showed a $260 mil­lion hit in 2021, $170 mil­lion in 2022 and $110 mil­lion in 2023. — The New Zealand Herald

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