Devonport council debt falls as rate cuts come into focus
Devonport's council debt has fallen from $55 million to $37.7 million as its Living City urban renewal project delivers financial success.
The Living City project, which faced harsh criticism early on, is now seen as turning the council's finances around. Debt dropped a lot over the past decade.
The drop let the council record a $6.7 million operating surplus and repay loans ahead of schedule. Devonport's mayor said the project has been a real win for the council, businesses and the community.
Even a former vocal critic, resident Bob Vellacott, has praised the council's progress. He suggested the improved finances could lead to rate cuts.
The mayor said cutting rates is unlikely to be sustainable, but added that strong growth should help keep future rises to a minimum.
- From 55 million to 37.7 million dollars
- Debt reduction
- 6.7 million dollars
- Operating surplus
- 5 million dollars
- Extra loan repayment
- More than a decade below inflation
- Rate increase period
Why it mattersWhen a council's debt falls, it means more money for services and less pressure to raise rates, directly improving households' costs.
AustraliaDevonport residents may see rate increases slow or even pause, and the success shows urban renewal projects can work financially.
