Pressure on rural communities as Council fails to manage cost blowout.

TasFarmers has slammed the latest rate increases approved by the Northern Midlands Council for the 2025-26 financial year, warning they are unsustainable for rural businesses and rural households.

TasFarmers says increasing council rates continues to place pressure on farmers and those living in rural areas, particularly those running business enterprises. After several years of rate hikes, the organisation warns local producers could be pushed to the edge, as additional rate rises can't simply be passed on to consumers.

TasFarmers CEO Nathan Calman said the Northern Midlands’ rate increases were well ahead of CPI and farmers would be forced to absorb the costs directly. "It will have to come straight off their bottom lines," he said.

"We've had members contacting us seriously concerned about the approved rate increases for the 2025 year in the Midlands municipality," Calman said.

"It's a double whammy for farmers. In this 2025/26 financial year, we will see a revaluation of land in the Northern Midlands on top of a rate rise. At some point, people feel like enough is enough and that ratepayers need to be protected from this land tax by stealth.

"This action needs to be called out as something that's unsustainable for anybody living in the area, particularly those trying to run a business. This is a pattern of cost shifting without accountability. It isn't sustainable and it isn't fair.

"It's clear the Midlands Council, like many Tasmanian councils, is struggling to manage rising expenses. But the solution can't be to keep loading more onto our rural ratepayers," said Mr Calman.

TasFarmers says it has made repeated representations to councils across the state in the lead-up to annual rate setting, warning of the disproportionate impact on farm businesses.

"Those concerns have largely gone unheeded," Mr Calman said. "So we're now calling on the state government to step in and establish safeguard mechanisms to limit the size of annual rate increases.

"If councils can't manage their costs, then the state government must take a leadership role in protecting the people who grow this state's food and fibre," said Mr Calman.