3 Feb 2015

Minister doesn't support council funding approach

2:03 pm on 3 February 2015

A proposal from councils to bring in new taxes to boost their funding is not winning favour with the Minister of Local Government.

Paula Bennett

Paula Bennett Photo: RNZ / Demelza Leslie

Included in Local Government New Zealand's alternative funding discussion paper yesterday was the suggestion of a local income tax, local expenditure tax or regional fuel taxes.

Paula Bennett said she shared councils' concerns about the need for critical infrastructure, but said some were not managing their spending as well as they should be.

She said she was happy for councils to have a conversation about funding, as long as they had one about spending as well.

"I think that is also about councils planning, about them looking at what their critical business is."

Ms Bennett said she did not see the Government supporting the idea of local taxes.

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