Business Central stands with Wellington businesses over land-value rating concerns

Business Central, home of the Wellington Chamber of Commerce, is backing Wellington businesses calling on Wellington City Council to take land-value rating off the table in its Rating Policies Review, warning a move would undermine investment, business confidence and the city’s economic recovery.

More than 100 Wellington business owners, supported by Business Central, have signed an open letter to Council raising serious concerns about the potential impact of land-value rating. The letter highlights substantial projected increases for individual businesses and warns that low-rise areas such as Te Aro, Courtenay Place and Cuba Street could be particularly affected.

Business Central Chief Executive Hayley Horan says the concerns reinforce what Business Central has been hearing directly from Wellington businesses.

“Wellington businesses want to be part of the city’s recovery. They are not asking to avoid paying their fair share. They are asking for a system that is fair, predictable and gives them the confidence to keep investing in Wellington.”

Business Central also supports reducing the commercial rates differential from 3.7:1 to 3.0:1 over three years, not six. But that relief means little if it is outweighed by a much larger increase from changing the valuation system, and Council has not shown that land-value rating would benefit businesses.

“We agree with the direction Council is heading on the commercial differential, but six years is simply too long. Businesses are dealing with rates, water, insurance and other operating costs now, and those pressures are affecting decisions about investment, employment and growth.”

Business Central is encouraging Wellington businesses to make their own submissions to Council and share what the proposed changes would mean for them before the deadline on Sunday 15th November.

“The more businesses that have their say, the stronger the business voice will be,” says Ms Horan.