Albury City Council has resolved to defer a decision to apply for a proposed 29% Special Rate Variation (SRV) until its 2027/28 budget process.
Mayor, Kylie King said the deferral will provide the opportunity to highlight the savings already achieved by Council, explore further opportunities, and return with a stronger evidence base for any future decision.
“Deferring the SRV would give our new CEO time to further demonstrate the work already underway, explore every realistic option, and ensure that if a SRV is ultimately required, we can confidently say we have left no stone unturned,” said the Mayor.
“The financial sustainability challenges facing councils across NSW have not disappeared, and we will continue to monitor Council’s long-term financial position closely.”
The SRV proposal included annual increases of 14% over two years – a cumulative rise of 29.96% – costing the average ratepayer an extra $375 a year.
In a statement following the vote, the Council said its Financial Sustainability Program has delivered more than $2.4 million in realised financial benefits since July last year, with additional projects underway. Further opportunities for cost savings and service reviews will continue to be explored, the Council stated.
Council’s draft 2025/26 financial results show a significant improvement in the General Fund operating position, with a reduction in materials and services expenditure of $8.1 million and increased revenue from user charges and fees of $6.7 million. The operating deficit was reduced from $26.4 million in 2024/25 to $13.8 million in 2025/26.
Council acknowledged that remaining on a rate peg-only pathway presents challenges and that ongoing work will be required to manage future financial pressures. It is expected that there will be an annual funding gap of $16.5 million for infrastructure renewal. Without additional revenue, this gap will need to be funded through increased borrowing or by making difficult decisions about the services and programs Council provides to the community.
The decision follows extensive community engagement undertaken during June and July 2026, which showed limited support for the SRV options presented and widespread concern regarding affordability pressures facing households.
An Albury Ratepayers Association petition opposing the proposed rates rise was signed by almost 3,400 residents.
“Throughout the consultation process, community members consistently expressed concerns about affordability and asked Council to continue focusing on savings, efficiencies and expenditure controls before pursuing a significant rate increase,” said Mayor King.
“Given the strength of community feedback, I believe a pause would allow Council and the community to work together to fully examine alternative solutions and better understand whether a SRV is truly necessary.
“We have a responsibility to thoroughly test every available option.”
