IPART is reviewing the methodology we use to set the local government rate peg
We published an Issues Paper in September 2022 and received 96 submissions.
We also held 7 workshops, 3 in-person in Wagga Wagga, Sydney, and Tamworth and 4 online in late November and early December 2022. Around 253 participants attended across the 7 workshops.
A complete set of presentation slides, and a summary of the workshops can be accessed as follows:
We will be releasing a Draft Report in February 2023 and scheduling public hearings in March 2023.
IPART has been setting the rate peg for councils across NSW since 2010. The rate peg limits the total amount by which councils can increase their income from rates each year. Our current rate peg methodology includes considering annual changes in the average costs faced by NSW councils and each council’s population growth.
We have announced the rate peg for 2023-24
IPART has set the 2023-24 base rate peg for NSW councils at 3.7%. There is also an allowance for the level of population growth, meaning some councils will have rate pegs of up to 6.8%.
This review will not affect the rate peg to apply in 2023-24. Any changes to our rate peg approach arising from the review will not apply until at least 2024-25.