23 Sep 2012

Farmers hoping for reduced rates

7:06 pm on 23 September 2012

Federated Farmers hopes changes to local government legislation will reduce rural rates, or at least stop them from increasing so quickly.

The farmer lobby group has made its submission to a Parliamentary select committee currently considering amendments to the Local Government Act.

The bill aims to reduce rates increases by requiring councils to focus on their core business such as roading and water.

The federation's Local Government spokesperson, Katie Milne, says rates increases hit farmers harder because they are calculated on land value.

Ms Milne says giving councils the ability to say no to luxury projects will help to redirect money to basic infrastructure and stem climbing debt levels.

The select committee is due to report back to Parliament by November.