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last mo.

NSW Councils Split Over Pay Rises and Large Rate Hikes

The choices show councils weighing voter affordability against the need to raise revenue to cover debt and rising costs.

Addressing the media on Wednesday, Tamworth mayor Russell Webb acknowledged people will criticise councillors' decision to give themselves a pay rise but said it's nothing more than they deserve. Picture by Samantha Newsam
Federation Council mayor Cheryl Cook has put her hand up for a pay increase, although it is not as high as she would have preferred. File picture
Albury councillor Phil Bullivant convinced his colleagues, including Stuart Baker, of the merit of not accepting a pay rise for the next financial year. File picture

Overview

  • Albury City Council unanimously declined the Local Government Remuneration Tribunal’s recommended pay rise and voted 7-2 to seek community feedback on three special rate variation options, with submissions open until July 31 and a decision on an IPART application planned for spring.
  • Federation Council voted 6-2 to accept the Tribunal’s 3.7% increase for councillors and passed a 2026-27 budget that includes an 11.8% general rates rise after the shire was granted an SRV.
  • Tamworth Regional Council endorsed the 3.7% uplift, raising councillors’ pay to $28,890 and increasing the mayoral package, with some councillors arguing higher pay is needed to attract younger candidates.
  • Other councils are taking different paths: Uralla moved to the Tribunal’s minimum fee level, a change reported to amount to about a 19% cut for councillors, underscoring wide variation in local choices on remuneration.
  • The Local Government Remuneration Tribunal sets recommended fee bands but councils decide locally, and constrained annual 'rate pegs' mean many councils must consider SRVs or spending cuts to close budget gaps and limit pressure on local households.