Southland District Council (SDC) has confirmed an average rates increase of 7.23% ($5.2 million) for the 2025/2026 year.

An average residential property will see rates increase by around $345, or $7 per week, while average farms will be around $190 (3%), with dairy farms $900 (7%), forestry property $600 (15%), lifestyle blocks $245 (10%), commercial properties $700 (7%), industrial properties $460 (8%), mining $160 (7%) and other properties $790 (6%).

SDC has opted not to hold any formal consultations on this year's Annual Plan as the rates rise was less than its 7.9% projection and still aligns closely with its 2024-2034 Long Term Plan.

The biggest portion of this year's rates increase is an allocation of $2.7 million for a planned larger roading programme.

However SDC failed to receive all the expected funding from NZ Transport Agency (NZTA) for its full programme which has meant not all the planned work can be started.

Councils rely on just over 50% funding from NZTA to carry out their roading projects.

The shortfall in NZTA funding means $7 million of SDC's allocated roading funds will show as a surplus over the three-year funding period, unless other government funding is found.

Should any funds remain left over, then SDC will use them to either pay off roading debt or to be held in the roading rate reserves.

This year's rates have also been influenced by $1.66 million which is due for stormwater, wastewater and drinking water costs, from increased depreciation funding, loan and principal repayments, maintenance increases, insurance and electricity

Property owners can view their estimated rates on the Council’s website: southlanddc.govt.nz/annualplan2025.