Property Council submission on Simplifying Local Government Consultation paper

On 20 February 2026, Property Council submitted to the Department of Internal Affairs on the Simplifying Local Government consultation – a draft proposal.

Why this matters to our members

The simplifying local government consultation looks to disestablish regional councils to create new Combined Territory Boards comprised of the mayors in the regions. Combined Territory Boards will be in charge of creating regional reorganisation plans which look to amalgamate key services and will be drafting spatial plans under the new Planning Bill 2025. Members want to make sure Combined Territory Boards are fit for purpose, efficient and focused on delivering outcomes.

Our view

Property Council broadly supports the intent of the proposal to improve regional coordination, enable clearer leadership, and support faster, more consistent delivery of housing and infrastructure. However, simplification must be carefully designed to ensure reforms improve outcomes in practice.

At a high level, Property Council recommended:

  • Any legislative references to ‘spatial plan committees’ under the Planning Bill 2025 is aligned with this proposal and references to Combined Territory Boards;
  • Combined Territory Boards include a limited number of skills-based appointed members to complement mayoral representation;
  • Mayoral appointees to Combined Territory Boards are supported by Deputy Mayors;
  • Proportional voting is balanced with safeguards to ensure smaller councils are not marginalised;
  • Combined Territory Boards are enabled to establish joint or cross-boundary governance arrangements;
  • Regional reorganisation plans are required to demonstrably justify materially improved infrastructure delivery, funding alignment, and growth outcomes relative to the status quo;
  • Regional reorganisation plans mandate the establishment of regional or shared consenting services;
  • Combined Territory Boards are required to undertake targeted engagement with infrastructure and development providers;
  • Combined Territory Boards consider climate change mitigation and emissions reduction as part of spatial planning and infrastructure-related consultation; and
  • The Government provide clear statutory direction on transition and implementation arrangements.
Read the full submission

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