29 Aug 2017

Auckland Council's surplus up by $90m

5:34 pm on 29 August 2017

The Auckland Council has made a bigger annual operating surplus of $340 million, with growth boosting both income and costs.

auckland council logo

auckland council logo Photo: RNZ

Last year the council recorded a $250m operating surplus.

The revenue for the Auckland Council group - including agencies - rose by 10 percent to $4.1 billion in the year ending June. Costs were up by 9 percent to $3.8bn.

The country's largest local body is not due to release the finer details of its financial year until next month, but said growth remained the main theme.

Staff costs rose by $50m, much of that coming from accounting changes, redundancies and the council-owned port company taking on more workers.

Ports of Auckland bought out a partly-owned subsidiary, boosting staff numbers on its own books by 56.

Other cost increases included accounting changes, such as fully allowing for the $40 million loan repayment guarantee to Eden Park, and a long-standing $6 million loan to the park.

A further $30 million came from how future liabilities for leaky building claims were accounted for in today's terms.

The council's cash surplus is used to lower the level of new borrowing needed to build new assets.

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