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Stonnington Council offers to refund two per cent rate rise for those who pay in full by October 31

A ratepayer group has slammed an inner-city council’s plan to give refunds for early upfront payments, saying it marginalises those struggling to make ends meet in some of Melbourne’s wealthiest suburbs.

Stonnington Council is proposing a rate rise despite forecasting a $22 million surplus. Picture Norm Oorloff
Stonnington Council is proposing a rate rise despite forecasting a $22 million surplus. Picture Norm Oorloff

An inner-city council covering some of Melbourne’s wealthiest suburbs plans to offer a rates discount — but only to those who can afford to pay in full.

Stonnington Council — which covers posh suburbs including Toorak, Malvern and South Yarra — plans to refund ratepayers its proposed two per cent rate increase for 2020-21.

But it will only give the refund to those who pay their annual rates in full by October 31 so the council can improve its cashflow.

The initiative is in the council’s draft budget, which is out for public consultation until July 30, forecasts a surplus of $22.1 million.

Ratepayers Stonnington president Dean Hurlston labelled the proposal “disgusting” and believed it marginalised those who couldn’t stump up the cash.

Ratepayers Stonnington president Dean Hurlston. Picture: Hamish Blair
Ratepayers Stonnington president Dean Hurlston. Picture: Hamish Blair

He said the rate rise was also a blow to those struggling to make ends meet following the coronavirus outbreak.

“It is the most disgusting thing amid what people are going through,” Mr Hurlston.

“To penalise those who are struggling, lost their jobs or their life’s work in a business is the worst thing they can do to the people they are meant to serve.”

According to the council, the average ratepayer would fork out $1650 and get a $33 refund if they took up the offer.

Mayor Steve Stefanopoulos said the rise was in line with the State Government’s rates cap and would help the council maintain essential services and have long-term financial sustainability.

Stonnington Mayor Steve Stefanopoulos says the council has hardship polices in place for those struggling to pay rates. Picture: Andy Brownbill
Stonnington Mayor Steve Stefanopoulos says the council has hardship polices in place for those struggling to pay rates. Picture: Andy Brownbill

He said upfront payments would improve the council’s cash flow and allow it to help others who could have difficulty paying their rates.

Cr Stefanopoulos said the council had a hardship policy which included rate concessions, interest waiving until December 31 and payment plans.

“We are continuing to review this policy as the economic impact of coronavirus is better understood,” he said.

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Original URL: https://www.heraldsun.com.au/leader/inner-east/stonnington-council-offers-to-refund-two-per-cent-rate-rise-for-those-who-pay-in-full-by-october-31/news-story/74454d45784bc307f2cf060ab12f00b6