Councils at 'Breaking Point' as Cost-Shifting Crunch Hits Ratepayer Funds

Councils at 'breaking point' as cost-shifting crunch hits ratepayer funds

NSW councils face $1.5 billion annual burden due to cost-shifting, rate capping, and funding shortfalls from state and federal governments.

Qld councils have reached a tipping point, says peak

Local government sustainability is again in the spotlight with Queensland’s North Burnett Regional Council increasing general rates by 25 per cent in its budget on Monday. Mayor Les Hotz said the increase would amount to more than $800 per year for residential taxpayers. The added revenue would shave $2.6 million off the council’s deficit, which will total around $8 million at the end of the 2025-26 financial year. The move – Queensland’s bigges…

New report exposes major cost shifting blowout

Image: Kittiphan/stock.adobe.com  A new report has revealed that councils across NSW are now absorbing $1.5 billion in cost shifting from the State and Federal Governments each year – a cumulative $11.3 billion in the past decade.   Commissioned by Local Government NSW (LGNSW), Cost Shifting 2025: How State Costs Eat Council Rates was prepared by independent consultants Morrison Low. It reveals the $1.5 billion burden on councils is an increase …

Government ‘cost shifting’ on regional councils threatening future of town libraries, says report

State governments used to fund 50 per cent of library costs, but now only fund 6 per cent. Photo: Joe Crawford/Flickr. State and federal government ‘cost shifting’ on councils is costing ratepayers an average of $500 a year and threatening the future of services such as regional town libraries, says a new report commissioned by representative body Local Government NSW (LGNSW). Historically, the state and federal governments have subsidised the c…

Cost-shifting costing NSW Councils billions

Year after year local councils are saddled with more responsibilities from the state and federal government, with cost-shifting forcing them to consider steeper rate increases to cover expenses like roads. An explosive new report commissioned by the sector’s peak body shows – it’s cost them more than $11 billion, over a decade, $1.5 billion last …