Candidate for Lord Mayor of the City of Melbourne, Arron Wood, has today confirmed that addressing cost of living pressures is his top priority.
Residents across the City of Melbourne are facing severe cost of living pressures with housing, utilities, food, transportation and healthcare costs soaring over in the last year resulting in significant financial stress.
Melbourne businesses are also feeling the crunch, with rising overheads and a 39.8% rise in retail theft offences severely impacting businesses across the city[1]. It’s no wonder that in the context of these pressures, 45% of small businesses have considered closing their doors or leaving in the past 12 months[2].
The current leadership at Town Hall confirmed they would pass on the full rate rise in their 2024-25 budget.
If elected, Arron Wood would freeze rates by locking in a 0% rate rise. This means rates would reduce in real terms, waste charges would be fairer and council services would be cheaper for residents and businesses in the City of Melbourne. This is in stark contrast to the current leadership at Town Hall overseeing recent increases to fees for council facilities and services such as pools, gyms and residential parking permits.
“If elected, I will work to ease cost of living pressures for residents and businesses alike” stated Wood.
“Our pledge is reduced rates in real terms for each of my four budgets as Lord Mayor – residents won’t see a one year freeze and then a cynical double hit the following year like they did under Deputy Lord Mayor Reece’s leadership in 2021.”
Arron Wood has a track record of standing with residents and businesses on the question on rates. During the Covid pandemic, he delivered a rates discount resulting in an effective 0% rate rise for businesses and residents.
“At a time when residents and businesses are tightening their belt, Town Hall needs to do the same.” Wood explained. “This is especially given those people in our city from lower socio-economic backgrounds are doing it particularly tough.”
If elected in October, Team Wood commits to easing pressure on ratepayers through cost management, limiting expenditure on consultants, service contract efficiency and a deliberate program of revenue diversification. A thorough review of all fees and charges will provide cost of living relief as quickly as possible.
“This includes initiating a review of the waste charge increase introduced by Town Hall in July 2022 – a review that was promised at the time and never delivered – within my first 100 days in Town Hall to ensure that it is fair and equitable.” Wood pledged.
Council’s current residential waste charge is a blunt $330 for properties valued above the median and $145 for properties valued below the median, without consideration of household size, quality of service or capacity to pay. Council deferred consultation on a more equitable waste charge in October 2022 and never returned to it.[3]
An Arron Wood administration will also cut the cost of primary residential annual parking permits by $10 in 2025 and freeze pool, gym and recreation centre fees at the current rate through to 2026 while conducting a review of the quality of each of the City’s recreation centres.
Residents and businesses should not have to cover the cost of Town Hall’s mismanagement of money. Lord Mayor Nick Reece has spent $22.5 million on the Greenline Project and a sod has yet to be turned. The Kensington Recreation Centre is $10 million over budget and two years behind.
“As a business owner, for nearly 20 years and a dad who helps manage our household budget, I will bring the experience and track record to Town Hall that cracks down on spending blow outs and delivers relief to residents and business owners feeling cost of living pressures.” Wood emphasised.
Quotes
Danielle Bryan, Kensington resident and small business owner, said of Arron’s announcement: “As a local resident I’ve really felt the pinch of rates and permit fee increases in recent years under the current leadership at Town Hall.”
Victorian Chamber of Commerce and Industry (VCCI) Chief Executive Paul Guerra said, “Businesses in the City of Melbourne are facing several issues, including cost increases, and the proposed rate freeze policy will be well received by the business community. Prudent financial management is crucial at this juncture of Melbourne’s history, and it’s imperative that business is prioritised to ensure the City’s recovery.”
[1] Crime statistics agency: https://www.crimestatistics.vic.gov.au/media-centre/news/media-release-shoplifting-at-highest-level-ever-reported-by-the-csa
[2] Victorian Chamber of Commerce and Industry (ACCI) survey – fact sheet available here https://www.australianchamber.com.au/wp-content/uploads/2024/07/ACCI-Small-Business-Conditions-Survey-Fact-Sheet-2024.pdf
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