Inflation dip no excuse to delay rates cap

Responding to CPI inflation falling to 3.7 percent in the September 2026 quarter, Taxpayers’ Union Head of Policy James Ross said:

“Inflation may be easing slightly, but households are far from out of the woods. With the oil price shock feeding through into the wider economy, households are expecting a tough end to the year.”

“6.2 percent council rates increases are a major contributor to this quarter’s inflation. With the cost of living already squeezing households, the last thing families need is councils piling on even more pressure.”

“Capping rates is the right policy, but delaying the cap gives councils every incentive to front-load increases before restrictions take effect. It’s clear that is what’s happening, and Government cannot keep delaying the cap.”