‘Waiting to drop off the perch’: Shock survey reveals immense toll of Cairns Council rate hike on retirees

One senior said they would resort to only having “Vegemite sandwiches for tea” to afford the proposed 800 per cent rate hike on Far North retirement village residents.

Cairns retirement village residents have turned out in force at the Cairns Regional Council's general meeting, protesting the proposed change to the zoning of their general rates, which will lift annual costs by 800 percent. Picture: Brendan Radke

A survey of Cairns-based retirement village residents facing a major rate rise has revealed the mental and emotional toll seniors are facing ahead of the council handing down its budget next month.

Cairns Regional Council has flagged that it intends to slap retirement villages with a rate increase of up to 800 per cent over the next two years.

Some outraged Cairns retirees have reported feeling “immense anxiety” and a “fear of homelessness” in response to the fees.

But Cairns Regional Council says the proposed change would reflect current fees paid by other residents living elsewhere in the region.

In an anonymous submission, one Cairns retiree said they would resort to only having “Vegemite sandwiches for tea” to afford the rate hike.

“Just ignore Christmas, Easter, birthdays and anniversaries and wait to drop off the perch,” the respondent said.

The Property Council of Australia (PCA), a lobby group representing 2500 property organisations across the country, said the survey of 265 residents living in six retirement homes in Cairns revealed the “heartbreaking” scale of the issue.

More than a third of respondents said they would “struggle to cover costs” under the proposed hike, while a staggering 16 per cent said they could not afford the increase at all.

Only seven per cent of the respondents said they could accommodate the increase.

“Calculations show a pensioner living on approximately $1,100 per fortnight will be hit with an increase of up to $75 per month if the Council’s plan is not abandoned,” Retirement Living Council executive director Daniel Gannon said.

Property Council of Australia survey of 265 Cairns-based retirement village residents. Source: Property Council of Australia

“To pay increased council rates, respondents indicated they would start by cutting back on groceries and food, followed by transport, power and water bills, scaling back medical visits and reducing prescriptions,” said a statement from PCA.

Respondents were from six Far North retirement villages – Aveo Parks in Earlville, Oak Tree in Cairns City, Mercy Health Coral Sea Gardens in Westcourt, Eureka New Horizons in Earlville, Eureka Cascade Gardens in Smithfield, and Regis Woodward in Whitfield.

Cairns Regional Council said the proposed rate increase would not be directly handed to individual retirees.

“Council does not rate the individual, we rate the owners. In this case, the landlord,” a council spokesperson said.

“For example, council rates the owner of the Parks Retirement Village - Aveo Group, who were reportedly purchased by Brookfield global investment group for $1.3 billion in 2019.

“Let’s be honest, no one likes to pay rates, but they are essential for the public facilities and services we all enjoy.

“This is simply about equity and ensuring all land owners pay their fair share.

“The proposed change would align these properties with other multi-dwelling properties in the region.”

Retiree Kay Nyland is organising a protest at Cairns Regional Council Chambers on Wednesday, protesting the proposed change to the rates structure where retirement village residents will be hit with an 800 per cent increase in charges. Picture: Brendan Radke

As part of the PCA survey, 175 Cairns-based residents submitted anonymous comments, highlighting the immense emotional and financial stress caused by the hike.

“This is nothing short of an immoral cash grab by the council on the residents who can least afford it,” wrote one respondent.

“This dramatic increase in rates should have been discussed at council, including an open forum for all residents in retirement villages. When we purchased our units it was never suggested that the Villages would be rated as multi storey buildings and change the status of our rates,” wrote another

“The effect on seniors will cause them to become lonely - won’t be able to afford to go out or socialise, depressed even more and feel they have been hoodwinked by the Councillors as nothing like this came up when they were spruiking for votes,” wrote another.

The proposed change will affect about 640 dwellings across the region.

Cairns Regional Council will hand down its budget next month.

Originally published as ‘Waiting to drop off the perch’: Shock survey reveals immense toll of Cairns Council rate hike on retirees