News

Rate caps are working

By Kyabram Free Press

CAMPASPE Shire Council said the Victorian Government’s rate capping had not had a significant impact on services.

Council agreed with a recent Essential Services Commission report which found little effect on services or asset renewal.

‘‘Council continues to monitor its financial sustainability since the introduction of the government’s Fair Go Rates Policy and to date this has not had a significant impact on services delivered to the community,’’ council’s general manager corporate services Fleur Cousins said.

The ESC report also found annual growth in council rates per property slowed significantly.

Commission chair Ron Ben-David said the report showed on average, the increase in rates had halved compared to the three years before.

‘‘Our analysis shows the growth in per property rates revenue has fallen from an average of 5.2 per cent per year in the three years prior to rate capping to 2.4 per cent in 2016–17 and 1.9 per cent in 2017–18, roughly in line with the rate caps,’’ he said.

The report also found after two years of rate capping there had been a decline in the growth of rate revenue collected per property, but overall revenue growth had remained relatively stable largely due to population growth.