Budget

Each year, the City prepares a budget to deliver the services, facilities and infrastructure our community relies on while investing in Perth's future.

Rates are only one part of how the City is funded. The City continually seeks grants, partnerships and other funding opportunities to reduce reliance on rates wherever possible.

Funding comes from a range of sources, including:

• rates
• fees and charges
• reserves
• interest revenue
• loans and other income
• State and Federal Government grants.

Council's spending decisions are guided by community priorities and the City's long-term strategic plans.

The budget funds the services and infrastructure people rely on every day while investing in projects that support future growth.

This includes:

• roads and footpaths
• parks and public spaces
• waste collection
• community safety
• planning services
• library and community facilities
• economic development, local events and activation.

When developing the budget, the City:

• reviews the cost of delivering services
• considers external cost increases such as State Government charges
• prioritises essential services
• invests in maintaining and renewing infrastructure
• identifies efficiencies to help minimise costs. 

At its Special Council Meeting on 22 July 2026, Council adopted a rates yield increase of 2.45 per cent.

A rates yield increase is the overall increase in rates revenue the City receives from the same group of properties compared with the previous financial year.

Individual property rates may increase or decrease by a different amount due to changes in property valuations undertaken independently by Landgate.

Like households and businesses, the City faces rising costs each year.

These include increases in State Government tariffs, insurance, the Emergency Services Levy and the cost of maintaining roads, parks, buildings and other community assets.

Council carefully considers these costs each year and works to keep rates as low as possible while continuing to deliver the services and infrastructure our community wants and relies on.

The City continually reviews its expenditure and looks for efficiencies across the organisation.

However, most of the budget funds essential services and the maintenance of community assets that residents rely on every day.

Reducing investment in these areas can result in deteriorating infrastructure, reduced service levels and higher costs in the future.

The 2026/27 Budget outlines how the City is investing in infrastructure, community facilities, public spaces and essential services that support a liveable, sustainable, prosperous and leading Perth.

Have questions about your rates notice? Visit our Rates page.

Rates notices are issued to property owners in July each year.

If you're registered for eRates, your notice will be available through the eRates portal instead of being posted.

Rates are calculated using:

• your property's valuation (determined independently by Landgate); and
• the rate in the dollar adopted by Council each year.

Minimum rates may also apply regardless of a property's valuation.

Landgate uses Gross Rental Value (GRV) for most residential, commercial and industrial properties.

GRV is the estimated annual rental income a property could reasonably earn if leased.

For vacant land, GRV is generally calculated as three per cent of the market value of the land.

Property valuations are only one part of how rates are calculated.

Whether your individual rates increase or decrease depends on:

• how your property's valuation has changed relative to other properties across the City; and
• the rate in the dollar adopted by Council.

As property values change differently across Perth, some ratepayers may see an increase while others may see a decrease.

Council works each year to keep rates as low as possible while continuing to deliver the services and infrastructure our community relies on.

Gross Rental Value (GRV) is an estimate of the fair annual rent your property could reasonably earn if rented.

When determining GRV for residential properties, Landgate considers factors including:

• location
• age
• size
• building materials
• number of bedrooms and bathrooms
• garages or carports.

To learn more about GRV, visit the Landgate website.

If you believe your property's valuation is incorrect, you may lodge an objection with Landgate within 60 days of the issue date shown on your rates notice.

Contact Landgate directly or visit its website for information about how to lodge an objection.

Please note that rates must still be paid by the due date while an objection is being considered. If your objection is successful, any adjustment will be applied to your account.

Each year, Council adopts a budget that balances the cost of delivering services, maintaining infrastructure and investing in the future with the funding available.

Rates are one of several funding sources used by the City. The City also receives funding from:

• fees and charges
• reserves
• interest revenue
• loans and other income
• State and Federal Government grants

The City continually seeks grants, partnerships and other funding opportunities to reduce reliance on rates wherever possible.