Council brings proposed rates increase down to 5.1 per cent

Western Bay of Plenty District Council has made a series of changes to help reduce the proposed rates increase for the coming year.

As part of its Annual Plan 2026/27 process - which sets the Council’s priorities, services, work programme and budget for the year ahead - councillors worked through a range of options, bringing the proposed rates increase down to 5.1 per cent for existing ratepayers.

It is down from the 8.13 per cent, for existing ratepayers, consulted on with the community in March. And, lower than the 8.64 per cent increase for existing ratepayers that was planned for this year in the Long Term Plan.

Western Bay Mayor James Denyer says the indicative 5.1 per cent reflects the combined work of councillors and Council staff to reduce the impact on ratepayers while still delivering the services communities rely on.

“We know people are doing it tough, and we’ve approached this Annual Plan with that front of mind,” says Mayor James.

“We’ve looked at everything through an affordability lens. People told us the basics matter - things like safe roads, maintenance and keeping our communities running well - and that’s been a big driver in our decisions.”

Council received strong feedback from the community through the Annual Plan consultation, with submissions reflecting a clear focus on affordability, keeping to basics, and maintaining essential services.

Mayor James says that feedback played a key role in helping councillors make some big calls.

Council also had to respond to changing conditions during the process, with additional cost pressures - including rising fuel prices and the impacts of this year’s weather events.

In response, Council has focused on addressing immediate affordability pressures while continuing to work through how longer-term cost pressures are managed.

A key part of the savings has come from how Council is funding investment in its roading network. The community urged Council through their submissions to continue investing in roads, mowing, general upkeep, and maintaining current service levels while reducing the impact on ratepayers.

Council confirmed an additional $5.8million investment in roads to respond to community feedback and increased pressures from weather and growth.

Rather than fully funding this through rates, Council agreed to use a mix of existing transport reserves alongside rates funding. This reduces the immediate impact on households while still protecting service levels, but may have an effect on future rates increases.

Further decisions to reduce the rates impact included:

• Using reserves to offset the solid waste targeted rate for the year, meaning lower costs for households who would otherwise pay this directly
• Deferring how potential fuel cost increases are funded, rather than passing these on immediately through rates
• Reducing some discretionary spending, including scaling back funding for smaller, locally driven community roading projects such as footpaths and streetscape improvements

“We’re operating in the same environment as households and businesses – maintaining tight budgets and balancing rising costs,” says Mayor James.

“That means making measured choices about where we spend, getting value for money and making sure we’re focused on what our communities have told us matters most.”

Council will adopt the Annual Plan on 25 June.

For more information on the Annual Plan process visit: 2026/2027 Annual Plan - Western Bay of Plenty District Council.

About the Annual Plan

The Annual Plan outlines the mahi Council is proposing for the coming financial year, and how it will be funded, including what has changed from the Long Term Plan, how much it would cost, and how those costs would be shared.

This Annual Plan covers the financial year from 1 July 2026 to 30 June 2027, which is year three of the LTP 2024–34.

The Western Bay of Plenty District grows by around 1 per cent annually, so the increase to the total rates requirement including this growth is 6.1 per cent through the Annual Plan 2026/27.