Low rates rise holds for Whanganui

Published on 29 May 2025

Following deliberations, Whanganui District Council has confirmed its commitment to an average rate increase of 2.2 percent for the draft Annual Plan 2025/26, which will be voted on at the Council meeting in late June.

Mayor Andrew Tripe says the council’s focus on doing the basics well, investing in core infrastructure, and involving community in decision-making has been key to keeping rates more affordable.

“As far as I am aware, we have set the lowest rates rise in New Zealand for the year ahead,” says Mayor Andrew.

“Our Council started this journey early on in this triennium and we’ve worked incredibly hard to find efficiencies across the organisation, while increasing revenue opportunities. The feedback from our community shows strong support for our approach.”

Key topics consulted on for the draft Annual Plan 2025/26 included the creation of a standalone housing entity to grow Whanganui’s housing stock, to increasing loan repayments, the adoption of a new strategy for Whanganui and proposed changes to fees and charges.

In each case, community feedback aligned with the council’s preferred options.

Following deliberations, the council has confirmed the following decisions:

• The council will continue to explore the opportunity to create a standalone housing entity.
• The council will consider all submissions and feedback to inform any minor changes ahead of adoption of the draft Strategy for Whanganui.
• The council will proceed with the proposed changes to fees and charges for 2025/26.
• The council will proceed with the additional loan repayment of $590,000 as proposed.

Operational budget changes were also made since the council launched the draft Annual Plan 2025/26 for consultation. Taumata Arowai (Water Services Authority) has announced their levies to recover the cost of their regulatory functions in relation to water. These levies will take effect from 1 July 2025 and are expected to cost around $16 per household.

“Consultation on these levies began late last year, so it is incredibly frustrating to receive this news just as we are about to adopt our budgets for the financial year ahead,” says Mayor Andrew.

“It is yet another example of central government shifting costs to local councils and communities - when it should be administered and funded at a national level.”

These levies, along with proposed Commerce Commission levies, will be incorporated into the Annual Plan budget for 2025/26 and will affect three waters rates for connected households. To ensure full transparency, the levies will be identified on rates notices. However, they will not increase overall rates due to additional income from other council revenue streams.

Adoption of Whanganui District Council’s Annual Plan 2025/26 will occur on Thursday 26 June, with the plan taking effect from 1 July 2025.