Wellington residents and businesses will be asked whether the city should switch from capital-value to land-value rates as part of a major review of how rates are divided across the city.
Public consultation will run from 19 October to 15 November after Wellington City Council approved consultation material for its Rating Policies Review.
Five proposals will be put to the public, including changing the rating base from capital value to land value and changing the general rates differential paid by businesses.
The Council will also seek feedback on extending the area covered by the vacant land differential, introducing a commercial differential for Tiaki Wai, and rates remissions for earthquake-prone buildings.
The proposals would change how the overall rates bill is divided between property owners rather than determine how much money the Council collects in rates.
Earlier Council decisions identified switching to land value as the preferred option for the rating base.
The preferred option for business rates would reduce the commercial differential from 3.7:1 to 3.0:1, phased in over six years.
Te Taurapa Council Planning and Finance Committee chair Diane Calvert said the review was focused on whether there was a fairer way to distribute costs between residential and business ratepayers.
Mayor Andrew Little said rates were the Council’s largest source of revenue for funding community services and facilities, making it important for Wellingtonians to have their say.
Councillors will consider public feedback in December before deciding whether all, some or none of the five proposals should be included in consultation on the 2027-37 Long-term Plan next April.
