Central government’s proposed rates cap

The coalition government has announced a national rates cap of 2–4% per capita, aimed at easing cost-of-living pressures and ensuring councils remain focused on essential services and responsible financial management.

Mayor Chris Russell says: “For Buller District Council, this means working within tighter limits while continuing to manage the realities of a small district with significant infrastructure needs. The cap reinforces the importance of clear priorities, disciplined budgeting and transparent reporting, which BDC is already strengthening.”

Water services are excluded from the cap, allowing essential upgrades and compliance work to continue without adding further pressure to general rates.

“Where a council needs to exceed the cap, approval from an independent regulator will be required. BDC’s focus on evidence-based planning and sound asset management will ensure our district is well positioned, should exceptional circumstances arise” continues Mayor Russell.

A transition period will begin in 2027, with full implementation by 2029. These requirements will be integrated into BDC’s long-term planning, and residents will be kept informed of impacts on the council’s financial position and service delivery.

Mayor Russell concludes: “We will continue to advocate strongly with central government to ensure Buller’s unique circumstances are recognised and that our district receives fair and practical support.

“Our focus remains on stable, prudent leadership and protecting households from unnecessary costs, while maintaining the services essential to our communities.”

-ENDS-

For further information please contact:
Community Engagement Team
Buller District Council
Media.Enquiries@bdc.govt.nz

Disclaimer
The information in this media release was correct at time of publication. Changes in circumstances after the time of publication may impact on the accuracy of the information.