Kaikōura electorate candidates Stuart Smith (National), Jamie Arbuckle (New Zealand First) and Matt Flight (Labour) faced Marlborough business owners on Friday morning at a Meet the Candidate’s event, with the proposed four percent council rates cap emerging as a point of contention.
Questions were raised about how Marlborough District Council would fund roads, river management and other infrastructure if rate increases were capped.
Out of $132 million allocated for total capital expenditure in the council’s annual 2026 – 2027 plan, roads and flood protection consume nearly two-thirds of the budget.
The plan states this is predominately a result of the ongoing rebuilding and repair of storm damaged roads in the Marlborough Sounds, and the maintenance of extensive stop bank networks needed to manage flood risks posed by the region’s major rivers.
Smith defended the proposed cap, arguing that councils should be “spending money smartly” when managing road and river infrastructure, rather than continually increasing rates.
He criticised what he described as a move towards “rewilding rivers”, saying “we need a different mindset” of “active river management” that involves the use of machinery to manage riverbed debris, which could help reduce large-scale flooding and costs in the long run.
Arbuckle said New Zealand First has “always had a regional infrastructure and provincial growth fund” to support councils.
He questioned whether four percent was the right number for a rates cap, stating the ideal is “definitely not double figures.” He said that time would tell if four were “the magic number”, although he thinks “there are opportunities within that budget”, to find savings depending on council spending.
Labour’s Flight disagreed, raising concerns about the effect of a cap on infrastructure spending. He said he was “surprised” the national party listed championing river management as a top priority for the Kaikoura region, when they were proposing to limit council’s revenue.
“I can tell you right now, maintaining a river is not a cheap option…[it’s] going to push those rates up. And if a council reaches a cap, what’s going to go first?” he questioned.
Flight said Labour is happy with rates capped but “it needs to be a measured approach” to ensure council can afford to manage the financial challenges surrounding road and river restoration.
The debate comes as Marlborough continuously faces significant infrastructure costs associated with storm recovery and flood protection across the region.
The candidates’ differing stances highlight the broader question of how much responsibility should sit with ratepayers, councils and central government for funding local infrastructure this election.
