Long-term Plan and Annual Plans – what’s the difference?

12 May 2026

You might hear Council talk about its Long-term Plan and Annual Plans and wonder what they actually mean for you as a ratepayer.

These plans are important strategic documents that help us plan, guide our operations, and deliver on our community outcomes and strategic priorities.

Here’s a simple breakdown.

What is the Long-term Plan?

Council’s Long-term Plan (LTP) sets out the big picture for the next 10 years. Our current LTP covers 2024 to 2034 and explains:

  • the work (mahi) we plan to do
  • the services we’ll deliver
  • how much it will cost
  • how we’ll pay for it - including what that could mean for your rates.
Aerial view of a water treatment plant showing circular treatment tanks, buildings, construction areas, and access roads, surrounded by green fields, trees, nearby homes, and a winding road along a hillside.

The LTP includes our financial and infrastructure strategies, along with a budget for each of the 10 years. We plan in the most detail for the first three years, as new LTP comes into effect at the end of the third year.  

We developed our current Long-term Plan in consultation with our community, which gave our community the chance to have its say before it was adopted.  

Horizontal graphic showing a rolling planning cycle. Blue and green labels mark Year 1, Year 2, and Year 3. The sequence runs from “Year 1 – LTP 2024–34,” to “Year 2 – Annual Plan 2025/26,” to “Year 3 – Annual Plan 2026/27,” then loops back to “Year 1 – LTP 2027–37,” indicating the cycle resets.

Where do Annual Plans fit in?

Once a Long-term Plan is in place, we use Annual Plans to check in on Years 2 and 3 of the LTP.

Sometimes things change - costs go up, priorities shift, or new information comes to light. Annual Plans let us adjust while still staying true to the direction set in the LTP.

Why changes are sometimes needed

An Annual Plan review is a bit like reassessing your household budget when expenses increase. For example, if your insurance or power bill goes up, you might need to delay a renovation or tighten spending somewhere else.

Council faces similar challenges, just on a much bigger scale. We manage:

  • assets worth $2.42 billion
  • debt of around $270 million
  • an annual capital works programme of about $70 million
  • annual rates revenue of roughly $114 million

Some cost pressures are outside our control. These include higher construction costs and insurance premiums that continue to rise year-on-year.

When do we consult?

If an Annual Plan largely reflects what was already signalled in the Long-term Plan, we’re unlikely to consult with our community again but we will keep our ratepayers informed about what’s planned and what the final rates take will be for that year.

If proposed changes would significantly affect services, budgets, or rates, we will formally consult with the community before making decisions.

The decision as to whether we consult is also guided the Local Government Act and Council’s Significance and Engagement Policy.

Reporting back to our community

Each year we provide two Performance Reports and one Annual Report to provide a clear picture of how Council is tracking against out LTP and Annual Plans. These reports provide you with progress on:

  • key projects and initiatives
  • performance against our measures
  • financial management
  • movement towards our strategic outcomes.
  • Keeping rates affordable

We know the cost of living is a real concern for many Kāpiti households, and reducing pressure on ratepayers remains a key focus for Council.

While the Government’s rates capping proposal has not yet been legislated, we continue to focus on what projects, programmes and budgets we need to prioritise over others.

To achieve lower rates increases, we may need to consider significant changes to current levels of service in the future, including stopping or changing some activities while continuing to meet our legislative requirements and constantly adapting to proposed Government reforms such as the Resource Management Act and Simplifying Local Government.

These conversations will feed into development of our Long-term Plan 2027–2037, which will include community engagement this year ahead of formal consultation early 2027.

Find out more about our Long-term Plans, Annual Plans and Annual reports.

Annual and long-term plans