Toowoomba council rate rise compared against neighbouring, similar councils across regional Qld

The full extent of the Toowoomba region’s rate rise has been laid bare when compared against other councils across regional Queensland, including our neighbours. Read the match-ups here:

Toowoomba residents are copping some of the highest rates and charges increases in regional Queensland, as the full extent of the council’s financial woes is uncovered.

Last week, News Corp revealed the region’s ratebase would have to wear a 15.17 per cent increase in rates, levies and charges in the 2025-26 budget — a figure found by simply calculating the difference between its revenue shifts over the past 12 months.

Much of this was due to the council’s decision to slash the early payment discount to just five per cent, meaning ratepayers who made the cut-off would effectively pay an extra five per cent on top of the 10.17 per cent net hike on rates, water, sewerage, waste management and other levies.

Toowoomba Regional Council mayor Geoff McDonald speaking to media about the 2025-2026 budget, Wednesday, June 18, 2025. Picture: Kevin Farmer

But new analysis has shown this increase is without equal across southern Queensland to date, with Toowoomba ahead of seven other neighbouring and equivalent-sized councils.

Cairns, which has an equivalent population size to our region, saw a 9.3 per cent net increase in rates and charges.

The Maranoa Regional Council was the next-highest from the local governments selected, with a net rate rise of 12.2 per cent.

The increases prompted yet another local government stalwart to voice concerns about the council’s position, arguing the TRC was suffering from a lack of fiscal discipline.

“They’re hiding behind the revaluation, the (upcoming) change in management and the fact they’re early on in the council term,” they said.

“It’s a lack of discipline — CPI is 2.1 per cent but their future rate rises are projected at double that.

“If the answer (to our financial problems) is 15 per cent, they have failed us.”

When asked about the changes last week, mayor Geoff McDonald said he and councillors didn’t want to repeat the “burden” of extra costs for future years.

“I’ve spoken to a number of our ratepayers, fellow residents right across these 13,000 square kilometres, and we know that this decision is something that we didn’t take lightly,” he said.

“We know it’s important for us to look forward with great optimism, which we should and can and will, (but) we also know it will be an extra burden on individuals and for that we need to work really hard (as) a council to make sure over the next 12 months we don’t see a similar occurrence to that.

“We’re doing all we can to rein in expenses, but also deliver on essential services and that needs to be our key (as well as) making sure our assets are maintained.”

Business owners slam council after discount changes

Kenneth Wagner at the Oaks Hotel during construction. Picture: Nev Madsen. Thursday, 24th Oct, 2019.

It comes after the council confirmed commercial landlords and business owner-occupiers would see even higher rate hikes than residents after being excluded from the early payment discount.

The latest budget documents show commercial and industrial properties, agricultural and mining operations and power generation facilities will all be excluded from discounts in 2025-26.

With most of these categories already seeing rate increases of about 9.5 per cent, the loss of the discount means commercial ratepayers will cop an extra 10 per cent in real terms.

Mr McDonald said the exclusions represented a small percentage of overall rateable properties.

“There are approximately 76,318 rateable properties across the Toowoomba Region — of these, 72,734 will still receive a five per cent pay-on-time discount,” he said.

“Council’s financial sustainability was being impacted by offering rateable properties a generous 10 per cent pay-on-time discount.

“Council determined a more sustainable approach would be a five per cent pay-on-time discount for all residential properties (including rural residential).

“Council removed the pay-on-time discount for rateable properties in commercial, general industrial, extractive, shopping centres, large retail, power generation, mining and high intensity rural categories like cattle feedlotting, piggeries and poultry.

“Council rates are generally a tax-deductible item for almost all businesses-related properties.”

Oaks Toowoomba owner Kenneth Wagner, who owns a similar-sized hotel in Townsville, said he was concerned about what the changes would have on CBD businesses.

“If you look at the state of the CBD and the vacancies along Margaret and Ruthven Street, why would the council want to make it more expensive for businesses operating in our region?” he said.

“The other thing I would say is quite frankly, if you look at the state of the town, the state of the parks and gardens and the state of our CBD, God knows where this money is going.”