Brisbane Lord Mayor Graham Quirk has quelled fears of an impending household rates hike, saying that the rates will not rise above inflation levels.


Responding to growing speculation that the struggling Brisbane City Council was planning to hike its rates, Cr Quirk said that the rates would not increase by any more than 3.6 per cent, or a maximum of between $40 and $45 per household.


Cr Quirk has allayed fears that the city’s households would see a similar hike to last year, which saw an increase in 5.04 per cent, or $60, rate hike in the area.


The Brisbane Times reported that other areas, such as Tennyson, Gumdale, Chandler and Hamilton, faced rate rises of up to $125.


Cr Quirk’s assurances come as the Brisbane City Council has shed 350 jobs, most of which were temporary or part time staff, while paying out 14 redundancy packages to full time staff.


The council currently is running a $30 million redundancy package, with voluntary redundancies open until the end of June, causing a spat between Opposition leader and erstwhile Brisbane Mayor Campbell Newman and the State Treasurer Andrew Fraser, who accused Mr Newman of “cutting and running” ahead of an expected austere council budget.