Merit in capping

WHILE I do not agree with everything our State Premier says, I do agree with recent criticism of local government rates increases.

Every three years in each of the financial years ending 2009, 2012, and 2015, the City of South Perth rates for many have moved up greatly due to sizeable increases in Gross Rental Value.

In other years during the past decade, the council rates (excluding Emergency Services Levy) have usually increased additionally by more than 50 per cent above the rate of inflation.

In 2007 it was 68 per cent, in 2010 it was 87 per cent, in 2011 and 2014 it was 66 per cent above the rate of inflation.

In 2013 City of South Perth council rates increased by 5.10 per cent, being more than twice the inflation rate at only 2.39 per cent.

In the 2016 budget year, the council rates increase of 3.95 per cent is 58 per cent higher than the expected CPI per the Federal Budget of 2.50 per cent.

The extra sting for ratepayers is that these rates increases, without adequate explanation of comparisons to actuals last year, keep on cumulating one year after another.

A system of capping sounds like a good idea.