North Sydney Council is struggling financially. To fortify their financial position, Council recently proposed a Special Rate Variation (SRV) and engaged the community for their feedback.

Every year, the Independent Pricing and Regulatory Tribunal (IPART) releases a rate peg for each council. This rate peg is a maximum percentage amount for increased council income – or, the maximum percentage increase of residents and businesses’ rates.

SRVs are a request of council for IPART to increase the maximum to allow for higher rates. IPART will assess the claim, making sure criteria is met. Criteria includes whether there is a need for the SRV and if the community are capable of shouldering a higher rate. Residents are able to submit feedback on the SRV application, which is taken into consideration by IPART.

Council sites reasons for their current instability as the North Sydney Olympic Pool redevelopment, declining revenue from non-rate income like on-street parking fees, asset maintenance, and historically low rates.

‘I understand that this is incredibly frustrating – especially at a time when everyone is under pressure from the rising cost of living – and many people will feel angry about having to address these issues at all,’ says Mayor Zoe Baker in a release.

North Sydney Council proposes increasing rates for 2025/26 to $1,300 for residential properties, and $1,400 for businesses.

Four options were presented to ratepayers.

“Option 1: Financial Repair” involves a 3-year SRV, wherein 2026/27 rates will increase to $1,365 for residents and $1,470 for businesses, and 2027/28 will see rates at $1,433 for residents, and $1,544 for businesses.

“Option 2a: Strength and Sustainability” involves a 2-year SRV, where rates will increase in 2026/27 to $1,625 for residents and $1,750 for businesses, and the 2027/28 period will increase rates to $1,674 for residents, and $1,803 for businesses.

“Option 2b: Strength and Sustainability” is a 1-year SRV, where rates for 2026/27 will be $1,339 for residents and $1,442 for businesses, and for 2027/28 residents will pay $1,379 and businesses will pay $1,485.

“Option 3: Future Growth” is a 3-year SRV, with the 2026/27 increase being $1,560 for residents and $1,680 for businesses, and 2027/28 will see residents paying $1,716 and businesses paying $1,848.

Residents were able to offer feedback for the SRV proposal until the10th of January 2025.