STATEMENT: IPART decision provides welcome relief from proposed rate rises
16 May 2025
Today’s decision by the Independent Pricing and Regulatory Tribunal (IPART) to reject North Sydney Council’s proposed 87% rate rise, and to significantly reduce Northern Beaches Council’s requested 39.6% increase to 25.2%, will be reassuring to many in the community who are already grappling with cost-of-living pressures.
It was clear that both of the rate rises proposed were too far reaching and were proposed without sufficient consultation or explanation.
Whilst I support councils being financially sustainable and able to deliver vital local services, it is essential to find the right balance between maintaining financial sustainability and being transparent and accountable about the services they are providing to their communities.
I strongly urge both councils to first look internally to prioritise cost savings before they propose cutting important community projects or services that are long overdue and much needed by the community.
It’s also time for State MPs to step up and take responsibility for the growing cost shifting onto local councils from state governments. This has occurred under the previous Liberal and current Labor State Government. State MPs should be actively working with councils to identify ways the NSW Government can provide greater support and ensure councils aren’t left to shoulder responsibilities without adequate funding from State Government.
When Federal Parliament returns, I will continue to push for an increase to Financial Assistance Grants—from 0.5% to 1% of Commonwealth taxation revenue—so councils can deliver for their communities without overburdening ratepayers.
I will also continue to work with both Northern Beaches and North Sydney Councils to identify whether existing federal grants or funding programs could assist in offsetting additional costs.
It is also essential that state, territory and federal governments address the growing costs to local governments from escalating climate risks and I have proposed a federally funded $10b climate resilience fund to support local governments by backing the development of climate resilience infrastructure projects around the country.
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