funding · City of Hobart
Hobart ratepayers face 3.5% revenue rise as council locks in 2026-27 budget
Hobart councillors adopted next year’s budget, setting the general rate at 0.3016 cents in the dollar and approving a three-year Street to Home partnership with the Salvation Army.
Hobart ratepayers will pay more from 1 July after councillors adopted the city’s 2026-27 budget, annual plan and rates resolution. Council says rates revenue will rise 3.5% overall, while residential ratepayers will pay an average of about $1.82 a week more.
The general rate has been set at 0.3016 cents in the dollar of capital value, with differential rates applying by land use. Council also approved the 2026-27 fees and charges update, which covers a wider range of council services, permits and facilities.
Lord Mayor Anna Reynolds said the budget was built to hold pressure on ratepayers while keeping services funded. She said it targets a modest $3 million surplus, includes more than $3 million in operational savings and keeps debt at a sustainable level.
The budget also retains spending on road and footpath renewal, stormwater renewal, upgrades at the Doone Kennedy Hobart Aquatic Centre, the Domain Athletic Centre track and the Wellington Centre lifts.
Parking revenue pressure surfaced during question time, with debate over a 20% parking price rise and the loss of income from meters near the Royal Hobart Hospital, Argyle Street, Campbell Street and Gladstone Street. Those questions were not taken at the time because the same topic was already on the agenda later in the meeting.
Councillors also approved a three-year financial contribution to the Salvation Army’s Street to Home program, at $35,000 a year from 1 July 2026, with 3% indexation in years two and three.
Active travel plans for Albuera Street Primary School, Lenah Valley Primary School and Mount Nelson Primary School were also endorsed, with future budget consideration to be given to the projects they identify.
The rate package takes effect from 1 July 2026, with the city now to publish and implement the adopted budget, rates and fees across the new financial year.
Reference minutes
City of Hobart Council meeting, 29 June 2026.
Key facts from the minutes
- Council adopted the 2026-27 Budget Estimates, Annual Plan and Rates Resolution.
- The general rate was set at 0.3016 cents in the dollar of capital value.
- Overall rates revenue is expected to rise 3.5 per cent.
- Residential ratepayers were told the average increase is about $1.82 a week.
- Council approved the 2026-27 fees and charges update.
- Council approved $35,000 a year for three years for the Salvation Army Street to Home program from 1 July 2026.
- Council endorsed active travel plans for Albuera Street Primary School, Lenah Valley Primary School and Mount Nelson Primary School.
Why it matters
- The budget sets what Hobart households and businesses pay from next month and locks in funding for services, capital works and homelessness support.