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Local rates-arrears rise by more than 30 per cent in year

Flagstaff Team

Rates arrears on properties in the Devonport-Takapuna Local Board area have soared by more than 30 per cent in the last year, rising from $2.6 million to $3.4 million.
The number of properties affected is up nearly 20 per cent, from 837 in July 2024 to 998 at the same time this year, Auckland Council figures show. Breakdowns by suburb were not available.
Council head of rates, data and revaluation Rhonwen Heath said council knew the cost of living had increased for Auckland households “and rates bills might have become more difficult to manage, for many”.
Properties were formally in arrears when rates had not been fully paid by 30 June.
The council’s financial year has just ended. “Many rates arrears are often cleared around this time of year, therefore current figures are likely to reduce further,” Heath said.
Council could often work through payment plans to help clear rates, but as a last resort takes legal action. If an owner has a mortgage, rates can be recovered from the lending institution.
Banks often communicated with their customers regarding a council notice of intention to demand payment. The issue was often resolved before court action was required.
In the last six months, no unpaid-rates cases in Devonport-Takapuna progressed to court proceedings,” Heath said.
Anyone concerned about paying rates was encouraged to get in touch with council. Assistance available includes a government-funded rates rebate scheme and a rates postponement scheme for residential properties.
In 2024, rates arrears were recovered from lenders for 1.38 per cent of all Auckland ratepayers (8588 properties).

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