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Council Chambers building front with blue shield emblem and golden decorative garlands
✓ Illawarra MercuryPower & Policy

Kiama residents face 20% rate hike to fix council's $3.8M shortfall

Kiama Council proposes a 20 per cent rate increase for next financial year to meet a state-imposed balanced budget deadline.

The council is seeking approval to raise rates by 20 per cent from July 2027 to close a $3.8 million budget gap. A household paying $2,000 in rates would pay an extra $400 a year.

The state government ordered the council to balance its budget by next year after years of deficits. The council has made about $23 million a year in savings since 2022 under a Performance Improvement Order.

Other options like paid parking are being explored but won't be ready in time. The council says either the rate rise or significant service cuts are the only realistic choices.

$3.8 million
Budget gap
20 per cent
Rate increase
$23 million a year
Savings since 2022
600 homes, $1.5 million rates revenue
Housing potential

Why it mattersKiama ratepayers will face a substantial jump in household costs, while residents must decide whether they prefer higher rates or reduced council services.

AustraliaDirectly affects Kiama residents in the Illawarra region, with councils across NSW facing similar budget pressures and rate variation decisions.

✓ Claims checked against the source and corrected before publish. checked 11 h ago

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