55821 (2025). Tangi Utikere to the Minister of Local Government

55821 (2025). Tangi Utikere to the Minister of Local Government: Which specific inflation measure (e.g., CPI, Local Government Cost Index, construction inflation or another index) will be used to determine the lower bound of the proposed 2–4 percent per-capita rates-cap range, given the Government’s intention to link the lower bound to long-term economic indicators?

Hon Simon Watts: The two to four percent range is preliminary and subject to further policy development following targeted consultation that ends in February 2026. The preliminary lower bound of two percent aligns with the Reserve Bank’s consumer price index (CPI) midpoint inflation target and represents the minimum necessary to maintain existing service levels and assets.