Council updates, Financial matters  |  Yesterday

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Christchurch City Council has confirmed its plans for the year ahead, with the adoption of the Annual Plan 2025/26.

The Plan sets out the key activities, services, and capital projects the Council will deliver over the next 12 months and how it plans to fund them. 

Mayor Phil Mauger says this is another significant year for Christchurch and Banks Peninsula.   

“With local economic growth outpacing national trends, the opening of new facilities, and ongoing progress in enhancing our city’s appeal, Christchurch is solidifying its reputation as an excellent place to live, work, and invest,” said Mayor Mauger. 

“The community expressed a clear desire for the Council to maintain service levels while keeping rates manageable—a difficult but necessary balance. 

“Across New Zealand, both organisations and households are grappling with challenging economic conditions and rising living costs, and our Council is not immune to these pressures. We are contending with increased costs beyond our control alongside reductions in external funding,” Mayor Mauger said. 

“As a result, the Council has had to make prudent decisions to keep rates affordable and borrowing sustainable.” 

Mayor Mauger says the Council needs to ensure enough debt headroom to manage future challenges, citing last month’s flooding experience as a good example of why this financial resilience is essential. 

Mayor Mauger also expressed confidence in the path ahead.  

“We’re on the right track and intend to stay there. This Annual Plan delivers on the community’s priorities, with an overall average rates increase of 6.60%, which is lower than projected in the Long Term Plan. Of that, 1.75% is going towards One New Zealand Stadium at Te Kaha – if you take that out of the equation, the overall increase is below 5%," he said. 

“But we’ve still got more work to do, so it’s great that the team has already started work on next year’s Annual Plan. We will build on the foundation set this year – ensuring that Christchurch is well-positioned to face whatever lies ahead.” 

Mayor Mauger says changes to what was proposed in February reflect community feedback and shifts in the wider economic environment the Council is operating within. 

Notable items in this Annual Plan include: 

  • Operational spending of $871 million on the day-to-day services the Council provides. This is $9.7 million higher than proposed in the Draft Annual Plan, driven by changes in the wider economy and policy decisions made by the Government. 

  • Capital spending of $648 million in 2025/26 including approximately $95.5 million for One New Zealand Stadium at Te Kaha. This is $88.2 million lower than what was proposed, due mostly to rephasing $71.5 million to later years based on what we can realistically deliver.  

  • An overall average rates increase of 6.60% – lower than the 7.58% proposed in the Draft Annual Plan. This translates to a 6.49% increase for the average household (or $4.96 a week), 7.0% for business properties, and 6.49% for rural properties. 

  • Pausing the collection of the targeted rate for the Christ Church Cathedral reinstatement.   

  • Increasing the rates we charge for infrastructure renewals in 2025/26 by $2 million, which will reduce the amount we need to borrow to fund our capital programme. This will help maintain a balanced budget in future years.

  • Granting $5 million in 2026/27 to the Air Force Museum of New Zealand for its planned extension.  

  • Allocating money for a scoping study for a central city shuttle service. 

  • The disposal of a small number of pieces of Council-owned land that are now surplus to the Council’s requirements. 

  • Confirmation of the scope and governance of the Council’s new Climate Resilience Fund – which will be used for climate adaptation requirements for Council-owned assets identified in our Adaptation Plans.