Premier Jacinta Allan asks Councils to show mercy as cost-of-living bites Victorians

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Victorian councils have been issued new guidelines aimed at strengthening protections for ratepayers experiencing financial hardship, family violence or economic abuse, as part of a move by the Allan Labor Government to ease cost-of-living pressures.

Premier Jacinta Allan said the Victorian Government was focused on easing cost-of-living pressures by delivering practical support for families, particularly children. She said the measures were aimed at ensuring students have access to essentials such as school breakfasts and dental checks, can continue to take part in camps, sports and excursions, and that families can more easily and quickly access ADHD prescription refills.

“This is about supporting working families – and giving them one less thing to worry about.”

Minister for Local Government Nick Staikos on Tuesday announced new Ministerial Guidelines on the Payment of Rates and Charges, which are now in effect across the state. The guidelines set out clearer and fairer expectations for how councils should identify and respond to hardship cases.

Developed in consultation with ratepayers, councils and key stakeholders, the framework is designed to ensure councils act in a compassionate and proportionate way when dealing with residents facing financial or personal difficulties.

Mr Staikos said the guidelines would help ensure vulnerable Victorians are treated fairly during difficult times.

“These hardship guidelines will ensure councils treat ratepayers who are dealing with difficult financial or personal circumstances with compassion, fairness and understanding,” he said.

“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 changes to family circumstances.”

Under the new rules, councils are encouraged to offer more flexible payment options, including rate deferrals, waivers and tailored payment plans, to help ease pressure on struggling households.

The guidelines also require councils to make their hardship policies and application processes easier to access, both online and in person, reducing barriers for people seeking support. Councils are further encouraged to refer ratepayers to financial counsellors, helping residents navigate hardship applications and access professional advice.

Councils rely on rates and charges to fund essential local services and infrastructure, including parks, libraries, community centres, roads, footpaths and sporting facilities.

To help manage household budgets, rate increases have been capped at 2.75 per cent for the 2026–27 financial year, in line with forecast Consumer Price Index movements.

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