How rates are decided

The rates you pay for the coming year are decided as part of the long-term and annual plan process.

How rates are decided

As part of preparing the next Long-Term Plan or Annual Plan, we ask for your views about the spending we’re planning and the amount we may need to charge ratepayers. The rates payable in the coming year are decided at the end of this process.

All property owners pay rates, including government departments and Housing New Zealand.

You can read about each year’s spending outcomes in our Annual Report.

Our rates must meet the requirements of the Local Government (Rating) Act 2002.  Non-rateable land and 50% rateable land are defined in Schedule 1 of the Act. 

How property valuations affect rates

Our independent contractor Quotable Value carries out property valuations for Porirua City every three years.  It works out the value of your property by looking at the selling price of similar properties in the area.  The last revaluation was on 1 September 2016. 

If you think of rates as a pie, the size of the pie doesn’t get bigger because of the new valuations. However, a ratepayer’s slice of the pie might get bigger or smaller depending on how their property value has changed in relation to the average change of valuations in the city. The total amount of rates collected stays the same.

Key facts about rates 2020/21

  • Some people's rates bills have increased by a lot more than others this year because of the property revaluations that happened in September 2019.
  • The average increase in capital value of residential property has increased by 34.5%, but some went up more than this. Commercial values went up by 21.4%, shopping plazas 9.41% and rural property values by 28.5%.
  • As a result of the revaluations residential ratepayers will pay $940,000 more of the city's budget, while commercial, shopping plazas and rural ratepayers are paying $940,000 less. It does not mean the Council gets more money overall.
  • The average rate increase across the city was 4.98%.The table below provides a breakdown by rating type and suburb which shows the change in revaluation % and effective rate change by both % and $ value.
  • On average, 41% of your rates is used to pay for roading, wastewater, stormwater and water supply. The rest of the money goes on providing services like parks, cemeteries, emergency management, libraries, arts and culture, and recreation. Fees paid by users also help to fund many other services like building and resource consents, provision of kerbside rubbish bags and venue hire

Group Average $ change per week in rates Average Change in property value Higher/Lower than average Average % increase Average $ increase
Residential $4.50 34.50% = 7.25% $233.87
Pukerua Bay $1.39 25.82% Lower 2.01% $72.44
Plimmerton $0.89 23.88% Lower 1.08% $46.14
Camborne -$0.53 20.65% Lower -0.70% -$27.42
Mana/ Paremata $2.07 27.19% Lower 2.81% $107.67
Papakowhai $3.06 30.26% Lower 4.34% $159.35
Whitby $2.02 27.25% Lower 2.80% $105.01
Ascot Park $5.09 45.34% Higher 9.78% $264.67
Waitangirua/ Cannons Creek $6.11 58.65% Higher 13.33% $317.86
Porirua East / Ranui Heights $5.41 47.44% Higher 10.53% $281.56
Elsdon $4.62 44.27% Higher 9.10% $240.14
Titahi Bay/ Onepoto $5.26 42.25% Higher 9.21% $273.72
Aotea $4.61 32.11% Lower 5.68% $239.57
Rural ( less than 50Ha) $4.05 28.50% Lower 6.66% $210.83
Rural ( 50Ha or greater) $9.29 33.30% Lower 8.49% $483.29
Hongoeka community $1.12 28.04% Lower 3.61% $58.36
Commercial -$1.91 21.40% Lower -1.14% -$99.12
Industrial $10.42 32.40% Lower 6.46% $541.72
Motels $16.72 29.44% Lower 4.35% $869.51
Shopping Plaza -$208.99 9.41% Lower -7.67% -$10,867.37