Grey Power denounces rates hike

Andrew Dunn. PHOTO: ODT FILES
Andrew Dunn. PHOTO: ODT FILES
Double-digit rates rises must not become the “new normal”, the president of Grey Power North Otago says.

Andrew Dunn said the 22% rates hike approved by Waitaki District Council last week was “far beyond what pension-only households can absorb”.

Mr Dunn acknowledged the “difficult financial environment” councillors were navigating and that support agencies and the rates rebate scheme were available.

But he said the council’s decision created a “real affordability gap” for seniors on fixed incomes, especially those renting.

Decisions of this scale needed to be based on “clear evidence of affordability and social impact, not assumptions that vulnerable residents can simply be compelled to pay”.

Mr Dunn also highlighted an exchange between councillor Hana Melania Fanene-Taiti and director of support services Paul Hope in which she asked whether officers had accounted for a gap for people in the community who could not ‘‘realistically’’ afford a rates rise.

Mr Hope responded that the council had not as the assumption was the rates would eventually be collected ‘‘because we can sell properties’’.

“The process leaned on the ability to enforce payment rather than assessing the real-world impact on pension-only seniors and renters,” Mr Dunn said.

“Our members are expected to make do with this rates increase from this council and need a firm commitment that this level of increase will not become the new normal. Seniors on fixed incomes cannot carry repeated double-digit rises.”

charley-kai.john@oamarumail.co.nz