Learn about your rights as a council ratepayer.
Information for ratepayers
In Victoria, council rate increases are limited by a cap set by the Minister for Local Government. The minister sets a rate cap for each financial year, and can set a cap that applies to all councils, a group of councils or a single council. The rate cap is based on the consumer price index plus or minus any adjustments.
We have four key roles in the rates capping system:
- We advise the Minister for Local Government on setting the rate cap for council rates. As part of this work, we consider whether the rate cap promotes sustainable outcomes for delivery of key services and critical infrastructure (such as garbage collection and park maintenance). We also consider whether the rate cap ensure that a council has the financial capacity to operate effectively.
- We assess higher cap applications submitted to us by local councils.
- We produce annual council monitoring reports on whether councils are complying with the rate cap..
- We report on the outcomes of the rate capping system every two years. The first outcomes report will be released in December 2018.
Your property’s council rate increase may not be the same as the rate cap
Rate caps apply to the average rate in each municipality. Your rate increase may be different because:
- the value of your property may increase or decrease relative to other properties in your municipality
- changes in municipal charges and differential rates may affect some ratepayers and not others
- special rates and charges, waste collection charges and the fire services levy are not subject to the rate cap.