On 13 November 2026, Property Council submitted to Wellington City Council on their Rating Policies Review 2026.
Why this matters to our members
Wellington City Council are looking at five key proposals for consultation before Long Term Plan season is expected in 2027. These key proposals include: moving from a capital value rating system to a land value rating system; reducing the commercial rate differential; extending the vacant land differential; creating a separate rate for Tiaki Wai; and simplifying rates relief for earthquake prone buildings.
Our view
Property Council strongly supports a reduction in the differential to 3.0 over three years. A more competitive rates environment is essential to restoring Wellington business confidence, attracting new investment and strengthening the city’s wider economic vitality.
At a high level, we recommend Wellington City Council:
- Commit to reducing the commercial differential from 3.7:1 to 3.0:1 over three years, rather than the proposed six;
- Investigate alternative funding and financing mechanisms;
- Take a more proactive and transparent approach to optimising Council’s existing resources before increasing the rates burden from the commercial differential on households;
- Retain its current capital-value rating system; and
- Remove the vacant site and derelict buildings differential.