Vancouver City Council says it wants to limit the next five years of tax property increases to less than 5.5 per cent.
In a report to Council Wednesday, city staff say an average increase of seven per cent annually would be needed to balance the budget.
But the ABC party majority on council felt those increases were too high.
Councillor Sarah Kirby Yung says people are facing “extreme” cost pressures right now and need a break.
“There’s a lot of conversation around ‘well, you know, property taxes are lower in Vancouver relative to other cities.’ But, property [itself] is way more expensive,” said Kirby-Yung. “It’s very difficult in this city for people just to put a roof over their head.”
Councillors Adrienne Carr and Christine Boyle abstained from the vote, saying they couldn’t support a limit on property tax increases because it could leave city initiatives without funding.
According to city staff, a seven per cent increase would equate to an additional $98 per year on a median strata property.
The motion passed by council will require staff to come up with options to keep property tax increases at 5.5 per cent or less, as well as look at new ways to generate revenue.
—With files from Cole Schisler