Each year, as rates are set for the new financial year, we often get questions about how it all works. This year, rates setting follows the three-yearly update of property capital values (CVs) that enable us to fairly share rates across 630,000 Auckland ratepayers.
There is no one rating scenario that applies to everyone – but it is fundamentally about ensuring rates are fairly set across our community. Here are some Q&A that address hot topics.
How are rates set?
-
Rates are set through the council’s Annual Plan and fundamentally come down to a property’s valuation and any rates increase by council.
-
For 2025/2026, the annual rates for an average residential property (CV $1.29 million) will be $4,069. The 5.8 per cent average increase for 2025/2026 will equate to $223 per year or around $4.30 per week.
-
But a number of variables mean ratepayers will receive increases below and above that.
-
If your value has reduced more than the average (-9 per cent) change between the two valuations (2021 and 2024), you can expect a smaller rates increase than the 5.8 per cent. If your property value held up better than the average, then you can expect a larger rates increase.
-
Fundamentally, the rates for a $1.3 million residential property in Franklin or Rodney will be in line with a $1.3 million residential property in Henderson, Albany, Tāmaki or Mangere.
-
The new rates funded refuse service to Waitākere, North Shore, Papakura, Franklin and Rodney also means these properties face higher rates increases, but will no longer have to purchase bin tags or pay for a private collection service.
Do property values change rates income?
-
The valuations do not change how much the council takes in rates – this is set annually following community consultation. Property CVs then help work out everyone’s share of rates.
-
Beyond residential rates (a 5.8 per cent average increase), there is additional rates income, including new ratepayers (+1.8 per cent); waste services (+1 per cent); and farm/ lifestyle/ business (0.5 per cent). Overall this means total rates revenue this year is expected to be 9.1 per cent more than last year.
What sort of assistance is available
Anyone concerned about paying their rates is encouraged to get in touch as we have a range of assistance available. These include:
-
a government-funded rates rebate scheme
-
a rates postponement scheme for residential properties
-
flexible payment options, such as direct debits offering weekly, fortnightly, monthly, quarterly, and annual payment.
-
The rates rebate threshold for SuperGold card holders increased from $31,510 to $45,000 from 1 July 2025. This will make more ratepayers who receive NZ superannuation eligible for a rates rebate.
Information on the options can be found on the Auckland Council website and our rates invoices also detail the support available.
What rates help deliver
While Auckland has some of the lowest rates rises in the country, we continue to work hard to keep rates down as much as possible – carefully balancing the need to strengthen the financial and physical resilience of Auckland, while investing to manage growth.
We are acutely aware of the tough cost of living facing our community and we continue to work hard to achieve council savings and improve value for ratepayers, to help keep rates as low as possible.
