The 2025/2026 year-end savings results are in and Auckland Council has not only achieved its $86 million budgeted savings target, but exceeded it by $11.2 million to a total of $97.2 million.
This is the largest savings result ever achieved by Auckland Council outside of the emergency Covid-19 budget response and builds on the $90 million enduring savings achieved in the Long-term Plan 2021-2031.
Deputy Mayor Desley Simpson, Chair of the Value for Money Committee, says in a tough environment for many, Auckland Council has worked hard to prove it is delivering operational savings, particularly given the $86 million target was $20 million higher than last year.
"I want to thank Mayor Wayne Brown for his leadership and focus on doing things better, faster and cheaper, as well as the council organisation for taking on this challenge. Every dollar saved, and every unnecessary cost avoided, helps protect the services and infrastructure Aucklanders rely on, while reducing pressure on rates and debt,” says Deputy Mayor Simpson.
“At a time when councils across New Zealand are facing increasing cost pressures, this result demonstrates our commitment to financial discipline and delivering value for Aucklanders. To put $97.2 million in context – that is greater than the rates revenue of 48 of the 78 councils in New Zealand.”
While the 2025/2026 result exceeded the target, the council notes that nearly half the savings achieved were one-off in nature. Of the $97.2 million delivered, $49.9 million are enduring savings and $47.3 million are one-off savings that will need to be replaced in future years.
Deputy Mayor Simpson says the council is now focused on meeting its increased $106 million savings target for 2026/2027 and achieving this in an enduring way.
“The low hanging fruit is well and truly gone, so I don’t underestimate the challenge ahead of us. We also have fuel price pressures, high inflation and interest rates which could see the real challenge build to over the $200 million per year mark. This means it is even more crucial that we control our costs and look for non-rates revenue.”
An update on the 2026/2027 savings programme will be presented to the Value for Money Committee in September.