Rates showdown tonight: Hastings businesses face rates increases of up to 85 percent

Rates showdown tonight: Hastings businesses face rates increases of up to 85 percent

The Taxpayers' Union says small businesses and jobs are at immediate risk in Hastings following the District Council's new revelations that commercial rates are going up next month by an average of 27 percent in the Hastings CBD and a massive 34 percent elsewhere in the region. Industrial property rates are reported to be soaring by 24 percent.

Ahead of a crisis meeting scheduled for tonight, organised by the Hastings and Havelock North Business Associations, the Taxpayers’ Union can reveal that some small businesses face rates increases of up to 85 percent.

The unprecedented one-year rates hikes are being driven both by Council decisions and new valuations from Quotable Value (QV).

Taxpayers’ Union Executive Director Jordan Williams says this is the worst possible time for any rates increases, let alone of the magnitude revealed by council data only yesterday.

“Combined with the war in Iran, oil shock, global downturn, returning inflation and rising interest rates, the massive rates hikes mean dozens of Hastings businesses face the same fate as Wattie’s and McCain’s, potentially costing Hawke’s Bay hundreds of jobs,” Mr Williams said.

“When did Council chief executive To’osavili Nigel Bickle and his deputy Bruce Allan know the rates proposal in the draft annual plan would push up CBD rates by 27 percent and other commercial rates by 34 percent? Why were these impacts not put before ratepayers before now? Ratepayers expect consultation, not nasty shocks on the eve of their new rates bill."

“And when did they tell new Mayor Wendy Schollum and her councillors?"

“Who will take responsibility for this fiasco?"

“Mayor Wendy Schollum recently called on Parliament to inquire into why rising costs were forcing Hastings’ major employers to close. She doesn't need an inquiry, she needs a mirror. Skyrocketing rates are driving both the cost of living crisis and businesses out of Hastings."

“The Taxpayers' Union is hopeful Mayor Schollum fronts up at tonight’s meeting and announces how she is going to stop Hawke’s Bay businesses paying any more than the 8.9 percent rates increase she advertised and which businesses have budgeted for."

“Ratepayers need transparency about what she knew and when, and must hold her and her councillors to account.”

Tonight's Emergency Ratepayer Meeting is from 5:30pm in The Shakespeare Room at ToiToi Centre.