One of Wellington’s best known food and grocery outlets says its rates will double under a potential council change.
Wellington City Council’s consulting on ways it calculates rates – with one proposal involving a switch from a capital- to a land value-based rating system.
Under the change, Moore Wilson's – which has been at the heart of the capital’s food scene for over 100 years – would increase its rates by $500,000 a year.
Director Julie Moore said it’s "not sustainable", adding that business was "tough as it is".
"It's a kick in the guts for the council to even propose this," she said.
While proponents of the move said it would encourage more housing development, making housing cheaper, Wellington City Mayor Andrew Little said they had sought feedback from the public.
"Get your submissions in, that's the way we get to make a good decision," Little said.
'Absolutely crazy'
After crunching the numbers, Trinity Group owner Jeremy Smith said the change was "absolutely crazy", "ridiculous", and "ludicrous".
"The Courtney Pl business is going to go up somewhere between $700,000 and a million dollars. And each of the businesses down there are struggling to survive as it is."
Penthouse Brooklyn Cinema said it could be forced to pay an extra $77,000 a year in rates.
General manger Fergus Kisby-Macleod said to cover the costs, they would have to sell “about 600 ice creams a week extra, and then also 80 tickets a week on top of what we already sell”.
He said the timing was terrible.
"Already we don't know what trading conditions are going to be like next year, depending on the government and what happens with the public sector, especially in Wellington," he said.
Little said while some in the community believed a land value rating was fairer, "we just don’t know".
"I just want to deal with the issue, come up with a conclusion and put it to bed once and for all."
But Wharangi/Onslow-Western Ward councillor Diane Calvert said the city "has more pressing problems" to attend to.
"We need to get our economy thriving. That will encourage more people to be here," she said.
The council was also proposing other changes – including one that would reduce commercial rates.
Feedback on the proposals was due by Sunday, with councillors to discuss them next month.
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