The Victorian Government has introduced new guidelines aimed at improving how councils support ratepayers experiencing financial or personal hardship, with a focus on fairness, clarity and access.
Minister for Local Government Nick Staikos announced that the Ministerial Guidelines on the Payment of Rates and Charges are now in effect, setting out clearer expectations for councils when dealing with people facing financial hardship, family violence or economic abuse.
The guidelines were developed through consultation with councils, stakeholders and ratepayers, and are intended to standardise how hardship is recognised and managed across local government. They outline the need for councils to respond in a way that is compassionate and proportionate, while maintaining transparency in decision-making.
Practical measures include encouraging councils to offer flexible payment arrangements to ease pressure on households. These can include deferrals, waivers or structured payment plans, depending on individual circumstances.
Practical measures include encouraging councils to offer flexible payment arrangements to ease pressure on households. These can include deferrals, waivers or structured payment plans, depending on individual circumstances
Councils are also expected to make their hardship policies easier to find and understand, with clear online and in-person access to application processes. The guidance further supports councils to refer ratepayers to financial counsellors, helping people navigate hardship applications and reducing barriers to seeking help.
Local councils rely on rates and charges to fund essential community services and infrastructure, including parks, libraries, community centres, roads, footpaths and sporting facilities. The government has capped rate increases at 2.75 per cent for the 2026–27 financial year, aligning the cap with the forecast Consumer Price Index to help manage cost of living pressures.
Minister Staikos said the new approach was designed to ensure consistency and care across the system.
“These hardship guidelines will ensure councils treat ratepayers who are dealing with difficult financial or personal circumstances with compassion, fairness and understanding.”
“By providing clear guidance, we’re giving councils the tools they need to support vulnerable Victorians facing prolonged hardship or unforeseen hurdles such as job loss, illness, or other changes to family circumstances.”
The guidelines take effect immediately, with councils expected to reflect the new standards in their hardship policies and day-to-day interactions with ratepayers.
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