Perth councils propose rate hikes above 6% for 2026-27
Perth councils propose rate hikes above 6% for 2026-27

Residents in Perth's northern suburbs are facing some of the largest council rate increases in recent years, with both the City of Joondalup and City of Wanneroo proposing hikes above the inflation rate. The City of Joondalup has suggested a 6.5 per cent increase in total rate revenue, while Wanneroo is seeking a 6 per cent rise, nearly double last year's increase.

Proposed rate increases

On Tuesday night, both councils endorsed differential rating based on land use for their 2026–27 budgets and agreed to advertise the proposed increases for public comment. For Joondalup residential property owners, the minimum rate for improved properties would rise to $995, an increase of $60 from the current financial year. Vacant residential land and commercial properties would see a minimum payment of $1085, up by $64.

Although the average proposed increase is 6.5 per cent, city officials noted that this would vary across households due to recent property revaluations. Some suburbs could see increases as low as 1.3 per cent, while others might face rises of up to 13 per cent.

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Financial challenges

The higher-than-usual increase in Joondalup's rates was first flagged last November in the city's strategic financial plan, which highlighted a $20 million operational shortfall that needed to be addressed, despite the city being debt-free. The plan recommended raising rates by 2 per cent above the consumer price index, which stood at 4.6 per cent in March.

Despite advertising a 6.5 per cent increase, the Joondalup council also voted to explore reducing the hike to 5.95 per cent, offset by cuts to city spending. Mayor Daniel Kingston acknowledged the community's concerns about cost-of-living pressures, including fuel and construction costs, but stressed that rate increases were unavoidable.

"If the council continues with business as usual for the remainder of the decade, it would likely need to increase rates by 50 per cent to meet obligations," Mr Kingston said. "We have a serious financial situation, but we can manage it responsibly by ensuring our budgets are appropriately put together."

Wanneroo's proposal

In the City of Wanneroo, the proposed 6 per cent increase would raise the minimum rate for residential improved properties to $1206, up $68. For commercial and industrial improved properties, the minimum would increase by $139 to $1727. The report to advertise the increase was approved with little discussion, but Councillor James Rowe assured the community that the city would closely examine its spending.

"Council is still completing its confidential budget workshop process," Cr Rowe said. "As we navigate these complex financial times, the city will assess the feasibility of its capital program and operating budget to ensure a fair and reasonable budget."

Historical context

These proposed increases are among the largest in recent years for both councils. Joondalup raised its rate revenue by 3.95 per cent for the 2025–26 financial year, while Wanneroo implemented a 3.5 per cent increase. The proposed hikes will now be open for public comment, with formal adoption of the budgets expected in the coming months.

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