Christchurch Mayor Phil Mauger says a promise of a 3-4 percent rates increase at the last election was "not his best work". Photo: RNZ / Nate McKinnon
Christchurch City Council is considering hiking rates by almost nine percent.
The council will meet this morning to vote on consulting on a proposed 8.93 percent rise - higher than the 8.48 percent rates increase forecast in the council's 2024-34 long term plan.
The council raised rates by 9.9 percent last year.
Staff briefed councillors in November that the forecast 8.48 percent average rates increase for 2025/26 was already set to climb to 9.06 percent.
The increase for 2026/27 was originally forecast at 5.8 percent, but by November that had also climbed to 8.5 percent.
Christchurch Mayor Phil Mauger - who recently announced his intention to seek re-election for a second term in October - told RNZ promising a 3 to 4 percent rates increase at the last election was "not his best work".
"Once we had Covid, insurance, inflation and interest rates - they knocked the hell out of us."
Mauger said any increase of more than 10 percent would suggest the council had failed in its duty to ratepayers, but acknowledged the ongoing rates hikes were still a lot of money for most people.
The council's $2 billion debt was an albatross around its neck and he wanted to see it paid down in the coming term.
"I want to sell a lot unstrategic assets to get some money back in the bank," he said.
"One of them in particular is a little bit of land by a shopping centre, it's got cars parked on it, we pay rates to ourselves and don't charge people to park on it. It's a bit of landlocked land, what do we need that for?"
Mauger launched his campaign last month with the slogan 'Delivering for a Better Tomorrow', and he said it was focussed on delivering practical results while planning for Christchurch's long-term growth.
Council chief financial officer Bede Carran said his staff had worked closely with elected members to find balance between delivering the city services, investing in its future and keeping rates affordable.
"It is a challenge every year, but we have managed to keep the proposed increase to single figures again, without compromising the services that people expect from the council. Christchurch is recognised as one of the most desirable places in the country to live, work and visit, and our balanced approach and careful planning helps contribute to this."
If agreed, the draft annual plan would go out for public consultation from 26 February to 28 March.
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