Gold Coast budget bombshell revealed as State Government levies hurt ratepayers

Gold Coast ratepayers are facing a 2.7% council general rate increase, but hidden charges could push the real impact much higher. SEE YOUR RATE INCREASE

Gold Coast budget bombshell revealed as State Government levies hurt ratepayers

Most Gold Coast ratepayers are set to receive a 2.7 per cent general rate increase in line with inflation, but this year’s budget will contain some hidden nasties in extra charges.

City sources say the council is finalising the figure for Friday’s Budget and warn that for some ratepayers their overall rate increase might be as high as seven per cent.

The budget debate has been explosive with the possibility several councillors – not a majority – will for the first time vote against budget items.

“We are working on our rates – on the minimum general rate that will be under the CPI. Brisbane for the March quarter, the CPI is 2.7 per cent,” a City source said.

“Across the board, the minimum general rate is for 50 to 60 per cent of properties. It all depends on your property valuation.

“If your land or property goes up in value proportionally more than the average across the city, then your rates will go up more than the general average.”

The Gold Coast budget debate has been the toughest sessions for councillors yet. Picture: John Gass.

A City budget source said: “The final landing point will be close to 2.7 per cent. I think it’s the biggest investment in water, sewerage and roads – all civil infrastructure.”

But several sources confirm other charges, impacted by State Government fees and ballooning operating costs, will see much higher increases than 2.7 per cent.

“Waste and utility charges, transport charges – those charges which are not rates, are not wedded to a CPI increase,” the source said.

Another council source said: “They are saying (inside closed special budget meetings) that the general rate will be 2.7 per cent. But they are putting up these other taxes (charges). There’s the View Tax. The real figure is 6.7 per cent, not 2.7 per cent.”

This masthead understands there will be light rail Stage Four funding in the budget despite the Crisafulli Government reviewing the planned tram route from Burleigh to the border.

A report last year detailed how about $14m of ratepayer funding had been set aside for “in kind works”. The City’s draft annual report shows an initial budget of $35m.

In the 2024 budget Mayor Tom Tate handed down a 4.2 per cent general rate rise, just under the CPI increase, with the $2.5 billion budget containing a record capital works spend.

Light rail construction at Miami. Picture: Glenn Campbell.

Because it involves commercial outcomes, much of the 2025-26 budget debate in recent weeks has been behind closed doors at the Evandale Chambers.

But it was revealed briefly in open session that the cost of the clean-up for Cyclone Alfred was $25m.

It is understood the Springbrook cableway project will be provided with more funding.

The Bulletin in April revealed councillors had reached agreement behind closed doors to introduce a $5 tip gate fee after a backflip. It will require a final tick at Friday’s meeting.

The State Government introduced a waste levy in 2019 but until now it had been offset by the City being paid $101.8m in costs for disposing of waste.

But those subsidies are reducing, and officers have warned the Government landfill levy of at least $145 a tonne, based on 2027-28 rates, would impose “significant financial burdens on ratepayers” without reducing waste to land.

Ratepayers will be closely watching the outcomes for the ‘View Tax’. A shock item in last year’s budget, it represented an increase from $3.20 a week for lower level units to $13.40 for those 40 levels and above. Residents have staged protests at City Hall against the charges.

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Originally published as Gold Coast budget bombshell revealed as State Government levies hurt ratepayers