Team working on a project 2
Summary

IPART welcomes the terms of reference from the Premier and Minister for Local Government to investigate and address concerns identified with the local government rate peg.

IPART has been setting the rate peg for councils across NSW since 2010. The rate peg protects ratepayers from excessive increases in council rates by limiting the total amount by which councils can increase revenue 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 will be looking at new approaches to setting the rate peg that reflect, as far as possible, changes in inflation and local government costs, while continuing to protect ratepayers from excessive rate increases.

IPART will be consulting extensively as part of this review and is interested in all stakeholder views. We want to hear from both councils and ratepayers about what is and isn’t working with the rate peg, and how it could be improved.

IPART expects to publish an issues paper and call for the first round of submissions in late September 2022. Workshops on the rate peg methodology will be held in November with a draft report to be released in February. A public hearing will be held in 2023 after the draft report is released.

We will be announcing the rate peg for 2023-24 soon

This review will not affect the rate peg to apply in 2023-24. We intend to release our decision on the 2023-24 rate peg in late September 2022. Any changes to our rate peg approach arising from the review will not apply until at least 2024-25.

Subscribe to receive updates about this review?

 

If you experience any issues with the above link, you can email us at localgovernment@ipart.nsw.gov.au to register your interest.

Key contact
Scott Chapman
(02) 9290 8449