Proposed rates increase of 5.8% for 2026/27

Published on 19 March 2026

Following today’s Strategy & Policy committee meeting, Whanganui District Council is proposing an average rates increase of 5.8% for 2026/27, as elected members respond to increasing financial pressure while continuing to invest in essential infrastructure and services.

The proposed increase comes despite significant efforts to minimise costs, including holding last year’s rise to just 2.2%.

Mayor Andrew Tripe says the council had “squeezed everything possible” out of the current year’s budget to keep rates low.

“We worked incredibly hard to limit last year’s increase to 2.2%, well below what was forecast in our long-term plan. But there is very little left to squeeze,” he says.

“We are now facing sustained cost pressures across construction, materials and services, alongside uncertainty from central government reforms. That means some increase is unavoidable.”

The Long-Term Plan 2024-34 forecast rates increases of 6.6% for both 2025/26 and 2026/27. With last year’s increase significantly lower and this year’s proposed increase at 5.8%, average household rates remain below what was originally projected.

Mayor Andrew says the draft annual plan will reflect a strong focus on getting the basics right. “We are prioritising investment in core infrastructure and services and making sure we do both well.”

“At the same time, we are continuing to improve efficiency across council and looking at other sources of revenue to help reduce the burden on ratepayers.”

Public consultation on the draft Annual Plan 2026/27 will open from 31 March to 3 May 2026.

The draft plan also reflects a number of difficult decisions to balance affordability with future needs.

Two significant projects, the Davis Library extension and upgrades to the Royal Whanganui Opera House, have been deferred, with these to be reconsidered through the Long-Term Plan process next year.

At the same meeting, the council also agreed not to introduce an out-of-district visitors door charge to Te Whare o Rehua Sarjeant Gallery.

“These decisions made today weren’t taken lightly by our council, but they reflect the balance we are trying to achieve between investing for the future and keeping rates manageable now,” Mayor Andrew says.

The annual plan process provides an important opportunity during the three-year long-term plan cycle for the council to check in with the community, rather than reset direction.

More details on the priorities for the next 12 months, and how to have your say will be made available following adoption of the Consultation Document and draft Annual Plan 2026/27 at an extraordinary Whanganui District Council meeting to be held on Thursday 26 March.