Like many councils in NSW, Northern Beaches is facing growing financial pressure with a widening gap between rates income and the cost to maintain services like roads, footpaths, sportsfields, playgrounds and pools.

Income from rates increases each year by the limit (called the ‘rate peg’) set by the NSW Government's Independent Pricing and Regulatory Tribunal (IPART), and recently this has been less than half the inflation rate. This means rates income is now $24 million lower each year than it would have been if it had been keeping up with inflation.

Additionally, ageing assets and the heavy cost of natural disasters, the COVID-19 pandemic, and ongoing cost shifting to Council from other tiers of Government is impacting Council’s long -term financial sustainability.

Council is saving millions each year by reducing costs and improving productivity. While these initiatives have delivered a balanced budget to date, they are not of a scale that can ensure long-term financial security.

Rating options for financial stability  

To meet the needs of our community into the future, we are asking the community to consider options and provide feedback that will support better community infrastructure and service delivery.  

The first option, reduce service, is the current path, with a rate increase from 1 July 2025 in line with IPART’s annual rate peg of 3.8%. This option does not achieve financial sustainability or provide additional funding to address the community’s priorities and will mean cuts to services.

Three other options involve Council applying for an increase in rates (called a Special Variation) to generate funding for maintenance, infrastructure improvements, environmental programs and community services. 

Option 1: Reduce services. Rate peg increase only 

Option 2: Maintain services 6% each year for 3 years + rate peg

Option 3: Improve services 8.3% for 2 years, 8.4% in year 3 + rate peg

Option 4:  Increase services 10% each year for 3 years + rate peg 

Have Your Say

The Your Say project page has lots of information about each option, Council’s plans for ongoing productivity savings and an online Rates Calculator which you can use to input your address to find out the impact of each option.

We’ll also be hosting a range of consultation pop ups and online information sessions – find one near you.

Community pop-up information sessions

Information sessions

Submissions close 12 January 2025

Following community engagement, a report will be tabled to Council in late January. Submissions for a Special Variation must be lodged with IPART by 3 February 2025.