Council finances are under pressure, and income from rates is a vital component of a good revenue strategy to:
1. Economic impacts of Covid-19, droughts and bushfires
Councils have experienced a significant drop in revenue due to the economic impacts of Covid-19, and some are also still recovering from extraordinary circumstances due to drought and bushfires. Councils can plan to increase their rates for the next financial year in accordance with processes in their state associated with allowable increases.
2. Harmonisation across your rating structure
Benchmarking surrounding LGAs using comparative data may expose disparaties that Councils can address by adjusting the rating burden across their rating structures. Merged Councils may also be looking to rationalise the categories and subcategories across their areas.
3. Hardship provisions
Hardship provisions applied to Council rate collection can support vulnerable members of the community during difficult economic times.
Centium has extensive experience in assisting Councils with their revenue and rating strategy. Find out more here.