A new, disproportionate State Government levy impacting rural and regional Victoria must be urgently reconsidered.

In December, East Gippsland Shire Council first raised concerns that the Government’s new Emergency Services Levy would place a significant financial burden on local ratepayers. Last night, Council reaffirmed its strong opposition to the levy.

At the first Council meeting of the year, Mayor Cr John White, with unanimous support from Councillors, called on the Municipal Association of Victoria, Rural Councils Victoria and the Victorian Ratepayers and Residents Association to write to Victorian Treasurer the Hon. Jaclyn Symes MP.

This advocacy would highlight the significant financial impact of the proposed Emergency Services and Volunteer Fund on Victorian property owners and call for a reconsideration of the variable rates structure.

“The new levy is an attack on our small businesses, farmers and households at the worst possible time,” John said.

“We have already written to the Treasurer, highlighting the key issues of this new levy.”

The current Fire Services Property Levy will be renamed to the Emergency Services and Volunteer Levy, calculated using two components: a fixed amount and a variable rate. All Victorian property owners are required to pay this levy, except for certain exemptions and concessions.

From 1 July 2025, the prescribed variable rate component will increase (estimated) as follows:

• Residential land — 99%
• Commercial land — 100%
• Industrial land — 64%
• Primary production land — 189%

“In our area, the greatest impact will be on primary producers. We have 3,519 primary producers who will see increases due to these levy changes. The levy hike will result in substantial and unbudgeted cost increases – amounting to thousands of dollars for many,” John said.

“As a rural Council that is the second largest in the State, with agriculture being one of our top three industries, I have serious concerns about this levies impact on our farming and commercial communities – especially off the back of the timber industry transition in East Gippsland.

“These increases will put further pressure on ratepayers already struggling during a cost-of-living crisis.

“There has been no consultation from the Government, no additional resourcing provided to implement these changes … the financial impost is a double whammy on our ratepayers and Council. Our resources only stretch so far. To collect this State tax, we may be forced to make sacrifices in areas that make a difference for our community.

“This comes at a time when local government is under considerable financial stress as highlighted in the recent State Government Inquiry into Financial Sustainability. Our view is that if this new levy is not scrapped entirely, it should at least be administered by the State - just as land tax is.”

Read our previous statement here: 31 December 2024