Government announces 4% cap on annual council rates increases

Tuesday 25 August 2026 · 4 outlets · 5 reports · updated Tue 25 Aug, 4:00pm

In this story Simon Watts

Local Government Minister Simon Watts has confirmed plans to cap annual council rates increases at a maximum of 4% and a minimum of 2%. The cap is set to take effect in 2029, though councils are expected to consider the target range from next year. The target range will be reviewed every six years.

How they headlined it

5h

11:12am4pm

1. 1NewsTue 25 Aug, 11:12am

   Full video: Government moves to cap council rates increases at 4% (opens in new tab)

   • 'Steep and unexpected': Government announces council rates cap (opens in new tab) Tue 25 Aug, 11:15am
2. NZ HeraldTue 25 Aug, 11:15am

   Government promises council rates cap of 4% (opens in new tab)

3. StuffTue 25 Aug, 11:16am

   Government moves ahead with cap on council rates increases (opens in new tab)

4. NewsroomTue 25 Aug, 4:00pm

   PM clarifies council fees and charges won't be capped (opens in new tab)