23 Mar 2012

Auckland council announces $110m loss

7:51 am on 23 March 2012

Auckland council reported a loss of $110 million in the first eight months of its existence.

The loss for the eight months until 30 June 2011 is revealed in the council's annual report.

The council attributes the loss to higher than expected borrowing costs, a fall in the market value of some of its properties and a rise in payments for leaky homes claims.

The council says it also received $35 million less during the period in resource consent and development fees due to a sluggish building market.