Willougby City Council budget on track

Published on 03 March 2023

Willoughby City Council’s budget position continues to improve due to increases in revenue and responsible fiscal management.

Council at its most recent Quarterly Budget Review endorsed a further reduction in its operating budget deficit for the current financial year.

Council’s 2022/23 forecast full year deficit was originally $2.2M. Over the last two quarters Council has reported a continuing reduction in this forecast deficit. As of December 2022 the forecast deficit has further reduced down to $451k.

The Quarter 2 budget review revealed Council is well on track to achieve further deficit reduction as a result of careful cost management and an increase in revenue. Revenue improvements have come from development application fees, increasing interest returns, fines and parking fees.

Council has a strong balance sheet with $2.1 billion of total assets and $2.0 billion in net assets – that is assets less liabilities; coupled with a working capital position which is well in excess of NSW Office of Local Government benchmarks.

Willoughby City Mayor Tanya Taylor said the reduction in the deficit is a clear indication of Council’s commitment to the community and prioritising where we invest.

'However, the current inflationary environment, the on-going State government process of setting a rate cap well below inflation, and the cessation of the Infrastructure Levy which resulted in rate reductions last year, places considerable financial pressure upon Council well into the future. Despite efficiency reforms and cost savings, it will be an ongoing challenge to levels of service, service and infrastructure provision.' Mayor Taylor said.

Council remains committed to further reducing the deficit for the full 2022/23 financial year.

For media enquiries, please contact:
Olivia Meredith
Willoughby City Council
E: Olivia.Meredith@Willoughby.nsw.gov.au
P: 9777 7896

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