LGNZ caught using dodgy maths to downplay rates cap savings

The Taxpayers’ Union is calling out Local Government New Zealand for misleading ratepayers about how much they stand to save under a rates cap.

Taxpayers’ Union spokesman Jordan Williams said:

“LGNZ claims the average household would save just $34 a year under a four-percent rates cap. That is flat-out wrong. The Government’s own figures show the average saving would be $134 a year over seven years.”

“LGNZ has taken the smallest estimated saving – from the very first year – and passed it off as the typical annual saving. It is shameless cherry-picking designed to make the rates cap look pointless.”

“The Government’s Regulatory Impact Statement estimates savings of $938 per rating unit over seven years. That works out to an average of $134 a year or four times more than LGNZ is telling ratepayers.”

“If this is the standard of financial literacy among the people defending runaway council budgets, it is little wonder rates are out of control.”