When we decided to set up rates collection based on a single instalment each year, we took several things into consideration
- To minimise administration costs, so that rates can be kept as low as possible, and
- To align with the standard practice of other regional councils across the country.
Unlike city and district councils who tend to have either two or four instalments a year, most regional councils around the country only have one. This is because the annual rates amount charged by regional councils is typically much lower than city or district council rates, and a single instalment is likely to be more affordable to pay.
Secondly, there is a need to keep administration costs as low as possible. Because we have over 145,000 rating units across the region, the costs to send out an instalment invoice and provide the associated resourcing to support customers with enquiries and payments rise significantly. Based on two instalments these costs would be around $700,000 and four instalments would be around $1.4m.
If a lump sum payment is not affordable for you, we recommend setting up a direct debit to smooth your payments across the year, without incurring penalties. Find out more about paying by direct debit.