City of Newcastle Council has expressed its disappointment at the NSW Government’s rejection of $45,000 in rate relief for residents displaced by last year’s New Lambton landslip.
The elected Council resolved in September to seek an ‘act of grace’ payment from the NSW Government that would cover the annual council rates for the 16 property owners located within the danger zone for a 12-month period from 1 July last year.
In a subsequent letter, NSW Recovery Minister, Janelle Saffin, rejected the financial support requested by Council on behalf of the affected residents.
Council CEO, Jeremy Bath said the decision was in stark contrast to the $40 million rates relief provided to victims of the natural disaster that hit the Northern Rivers in 2022.
“It’s disappointing that the NSW Government continues to ignore the residents of New Lambton who have been displaced from their homes since the landslip occurred in May last year,” Mr Bath said.
“The NSW Government has rightfully been very generous in its support of residents living on the mid and far north coast who were also impact by the same natural disaster in May last year. For reasons unknown, not one dollar has been provided to those in Newcastle.”
Council is proceeding with its own process to grant financial assistance to the residents via a donation equal to the rates they have paid on their properties for the 2025/26 financial year.
It says the move is in line with the restrictions of the Local Government Act, which prevent councils from waiving the rates and charges levied on a property. The process will cost City of Newcastle’s ratepayers $45,600.
Ward 3 Councillors Siobhan Isherwood, Peta Winney-Baartz and Mark Brooker urged the NSW Government to help support the affected residents.
“The Reconstruction Authority was set up to help communities recover from natural disasters. Our residents need help while they navigate the uncertainty and disruption and the financial challenges that they’ve been dealing with since May 2025,” Cr Isherwood said.
“Newcastle Council is doing all they can to support residents, but they don’t have the resources that are needed.
“It is well past time for the State Government to step in and help manage the load. The Reconstruction Authority must be directed to provide the same support to New Lambton residents that residents in other parts of the state have access to,” she said.
“I look forward to continuing to advocate for the impacted families to ensure their needs are met and also to continue working alongside the NSW Government to support City of Newcastle in our endeavour to secure support and funding,” Cr Winney-Baartz said.
“This is not an opportunity for political point scoring it’s up to us all to work together to achieve tangible supports for these families.”
“It’s disappointing that the State Government has declined to offer financial assistance to the 16 displaced households of New Lambton,” Cr Brooker said.
“Through rates relief for the current year City of Newcastle has done all that it can to ease the financial burden being felt by these residents.”
Meanwhile, a geotechnical report into the landslip is currently with the NSW Public Works and Transport for NSW for peer review. Council is liaising with the agencies in preparation for the report, which is expected to be received in late February and will be followed by further advocacy to the NSW Reconstruction Authority and elected representatives for support through the Disaster Recovery Funding Arrangements.
