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flag Australian regional councils face a financial crisis due to rising costs and stagnant funding, sparking rate hikes and public backlash.

flag A financial crisis is undermining local governments across Australia, especially in regional areas like the Hunter and Central Coast, where rising costs from inflation, climate change, tourism, and state mandates outpace stagnant revenues. flag Councils struggle to maintain services due to low population density and inadequate funding, while infrastructure repairs, regulatory demands, and extreme weather strain budgets. flag Some are proposing steep rate hikes, sparking public backlash. flag Despite multiple inquiries, including a new federal one, governments have largely responded with investigations rather than direct financial support, leaving councils in a cycle of mounting debt and eroding trust.

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