Rates hikes expected with Supercity, poll shows

Auckland voters are expecting rates hikes as a result of the Supercity restructure - with many bracing for major cost blowouts.

A Herald on Sunday/Buzz Channel poll shows almost two-thirds of voters expect the changes will drive rates up over the next three years, with some picking increases of up to 30 per cent.

And 54 per cent thought the new structure would result in ratepayers forking out more in the long term too.

Many respondents said transition costs would far outweigh any savings.

"Planning for the amalgamation will be inadequate, rushed and cost ratepayers millions and millions of extra dollars," said one. Others said savings promised in the last major local government revamp never came about.

"In 1989 we were told the timely delivery of efficient and effective services, along with outsourcing, would keep rates rises down," said one. "We were lied to then, and I feel that we are being lied to now."

Those who thought the changes would bring rates down said the savings would be driven by cutting bureaucracy, staff and duplicated services.

Manukau Mayor Len Brown, who is leading most-preferred Supercity mayor polls, said "the hope for benefits from amalgamations in the past have never really been delivered".

Brown said the new council would do well to stick to rates increases of between 3 and 5 per cent slated in long-term plans.

Auckland Mayor John Banks, who is also contesting the super-mayoralty, was confident of savings.

"Unless there were economies of scale, savings and greater efficiencies, why would we ... change to a Supercity?

Local Government Minister Rodney Hide said increases forecast by existing councils were too high.

The Supercity would be a "leaner, more accountable organisation", but he said it would be up to the new council to keep spending down. "It will be the mayor and councillors who will decide, ultimately, how much they spend and what rates will be."

Auckland local government expert Dr Graham Bush said the focus should be on achieving the best governance structure for the city's future - cost savings and efficiencies would be a bonus.

Poll results showed Waitakere residents were most concerned about increases, with 72 per cent picking a hike in the next two to three years, and 66 per cent expecting it to continue in the long term.

Auckland City residents were the most optimistic, with less than half expecting a long-term rates hike.

Across the region, cleaning up the harbour was seen as the most important project on the new council's agenda, with more than half of those surveyed willing to pay higher rates to eliminate sewage overflows.

Half were also willing to pay more for better public transport.

But there was little appetite for spending ratepayer cash on the leaky buildings crisis, Rugby World Cup preparations or Queens Wharf redevelopment.

Only in Auckland City did Queens Wharf - now proposed to cost $100 million - draw any support, with 17 per cent of respondents willing to put cash in.

On the North Shore, ratepayers wanted to see money going towards a harbour tunnel. The online survey polled 1541 Aucklanders and 4000 people nationwide.

- heather.mccracken@hos.co.nz