Rate rises are causing concern for Geelong residents already struggling with cost of living crisis

Geelong property owners have received their rate notices and many are concerned by yet another hit to their household budget.

Ratepayers Geelong president Andrew Senia says he has been contacted by concerned residents. Photo: Glenn Ferguson.

The association representing Geelong ratepayers says it has been inundated with inquiries from concerned residents after notices landed in letterboxes in recent days.

Geelong council is expected to reap $305m in rates and charges this financial year, representing more than half its total revenue.

The average residential rate across the City of Greater Geelong, including charges, has increased by 5.8 per cent to $1480, driven by an 8.4 per cent jump in house values.

A property’s value, as determined by the state’s Valuer-General as at January 1, is the key determinant in setting rates.

Ratepayers Geelong president Andrew Senia said a large number of residents had contacted his group, alarmed at a larger than expected rate rise amid a cost of living crisis that had already crunched household budgets.

“What I’m hearing is that the ones being hurt the most are just ordinary people – families, single parents, widows – so we’re certainly not talking about the big end of town,” he said.

“Council should be focusing on cutting costs and saving money instead of relying on ratepayers to fix their mistakes – it all comes back to good governance.”

Under a system introduced in 2016, the state government sets an annual cap to limit the amount councils can hike rates.

The current cap of 3.5 per cent does not relate to the waste management charge, which is up 6.4 per cent this year to $457 per property.

Despite rates for residential, vacant, mixed-use, and farm land all exceeding the cap, Geelong council was able to meet the 3.5 per cent target through a reduction in commercial rates.

Waurn Ponds resident Adam Gladki said his rates increased in line with the average.

Mr Gladki said it was conversations with neighbours, rather than his own financial position, that worried him the most.

“Interest rates have gone up a lot, groceries are getting more and more expensive, and people already doing it tough are now going to have to find even more money,” he said.

“I think council could be a bit more frugal with its spending.”

The council has support measures in place for people experiencing financial hardship.

Pensioners can receive a rebate up to $253, while low-income households are eligible to apply for a 50 per cent waiver on their annual rate increase.

City of Greater Geelong chief executive Ali Wastie acknowledged the impact rising costs were having on many households and said council was focused on delivering maximum value for ratepayers.

“Residential rates, while rising above the overall average this year, remain competitive in comparison to other councils across the state,” she said.

“Community members having difficulty paying their rates are encouraged to make contact with our team and discuss the options available through our hardship policy.”

Originally published as Rate rises are causing concern for Geelong residents already struggling with cost of living crisis