Regional rates to rise by 7.7%, higher than CPI

A 7.7% rise in Waikato Regional Council rates for next financial year has been approved but several councillors voted against saying it would further hurt people struggling with cost of living hikes.

The majority of councillors at yesterday’s hui approved the annual plan 2022-23 and the 7.7% rise for current ratepayers, bringing total rates revenue to $121.7 million. It follows a 0% rise in a Covid-19 emergency budget in 2020-21 and compares to a

March 2022 quarter consumer price index rise of 6.9%.

Chairperson Barry Quayle said the latest rate rise was still due to be the third lowest of New Zealand’s regional and unitary councils.

Quayle also said the annual plan was about making Waikato stronger.

‘‘We’ve focused on trying to make this region more resilient.’’

Noting the need to recruit and retain staff in a competitive job market, Quayle also felt the plan’s provision for pay increases was ‘‘modest’’.

But councillors Stu Husband and Kathy White voted against adopting the 7.7% rise.

Husband was concerned at the rate of increase being higher than inflation and said some things could be trimmed to rein the rise in, suggesting passenger transport spending could be less.

‘‘The affordability’s just not there . . . in the community.’’

His children had just spent $350 on two bags of groceries, Husband said, adding ‘‘these aren’t normal circumstances out there’’.

White also said it was a good idea to look at what could be dropped from the spending programme.

Councillor Fred Lichtwark agreed on the need for restraint but supported where the council was heading and that, ideally, he would like it to be able to spend more.

While agreeing economic stresses were difficult for many, councillor Jennifer Nickel also noted council spending could be seen as a longer-term investment in future prosperity.

Councillor Russ Rimmington said the world and New Zealand faced uncertainties due to such things as the war in Ukraine and various economic difficulties.

‘‘The world’s not a safe place,’’ he said, noting there could be some hard years ahead.

Councillor Andrew MacPherson wanted commentary in the plan to include more ‘‘realism’’ about the current situation to help reinforce that ‘‘we are not just sailing on blithely’’.

Chief executive Chris McLay said staff would take on board the feedback and look at amendments to the commentary.