Rate Capping

Rate Capping was introduced by the State Government on 1st July 2016 which Council has complied with. Rate Capping limits the amount Councils may increase Rates in a year, without seeking additional approvals.


For more information on Rate Capping visit the Essential Service Commission website.

What is the Rate Cap amount? 

The Rate cap for 2021-2022 will be 1.5%. In comparison, the previous Rate Caps (based on CPI) have been:

  • 2017-2018    2.00%
  • 2018-2019    2.25%
  • 2019-2020    2.5%
  • 2020-2021    2.00%
  • 2021-2022    1.5%

What are the effects of Rate Capping? 

The Victorian State Government’s introduction of Rate Capping may restrict Council’s ability to deliver new initiatives and major projects in the future.

Why are my Rates more than the Rate Cap percentage? 

The annual revaluation may have an effect on the overall percentage increase of your Rates. This is due to either an increase or decrease in your property valuation when compared to the overall average increase of the municipality.  

If your valuation increased and was greater than the municipality average then your Rates may increase to a greater amount than the Rate Cap percentage, which is 2.0% for 2020-2021. However, if your property valuation decreased, then your overall Rates may be equal to the Rate Cap percentage.

It’s also important to note that Rate Capping only applies to the General Rate and the Municipal Charge. The Rate Cap does not apply to other charges such as Waste Bins.