As financial pressure on households mounts, Warrnambool City Council is facing $1.7 million in lost rates and other debts it doubts it can recover, up 20 percent from the previous year.
What happened: Councillors received the draft 2025-26 financial statements at Monday’s meeting.
Councillor Billy Edis told the meeting the results “really highlight the situation, not only where [the] council sits budget-wise, but also where the community sits as well”.
The statements show outstanding balances for rates and infringements increased by about 20 and 16 percent respectively, with the trends linked to ongoing cost-of-living pressures.
Hardship process: Under the council’s financial hardship system, residents having difficulty paying rates can apply for assistance.
A $250 rate rebate is available for owner-occupiers who meet the criteria, while payment deferrals for other council services are also assessed on a case-by-case basis.
Small surplus: The council had forecast a surplus of $7.5 million for 2025/26, but it wound up at $3.3 million. In 2024/25 the surplus was $11.9 million.
Council CEO Andrew Mason said Warrnambool City was in a “sound financial position”.