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      Harnessing opportunities to build financial resilience

      In 2025–2026, KPMG and the Public Sector Network brought together local government leaders from across Australia, alongside private sector specialists, to explore the evolving challenges and opportunities facing the sector.

      The roadshows highlighted the growing impact of financial constraints on councils, while surfacing practical pathways to strengthen resilience, through smarter resource management, targeted investment and through innovative thinking and the application of emerging AI technologies.

      Attendees contributed to live polling across key themes, including financial sustainability, immediate and long-term pressures, and service optimisation.

      These insights provide a clear view of the local government sector’s priorities and the actions required to build more sustainable, future-ready organisations.

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      Reimagining how Councils deliver

      Insights from the 2026 Public Sector Network Local Government Roadshow
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      From foundation to innovation: financial resilience in local government

      PSN Local Government Roadshow 2025
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      Unlocking capabilities to uplift service experience

      PSN Local Government Roadshow
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      Key challenges facing local government

      • A structural funding gap

        A growing gap between constrained revenue and rising costs is the defining issue for councils, with many unable to sustainably fund operations without external support.

      • Rising demand and community expectations

        Councils are under increasing pressure to deliver more complex, higher-quality services, driven by population growth, ageing communities and changing expectations.

      • Ageing infrastructure and asset burden

        A large, deteriorating asset base is driving significant maintenance and renewal costs, compounding long-term financial risk.

      • An operating model under strain

        Skills shortages, rising cost-to-serve and legacy systems are limiting productivity and slowing councils’ ability to respond to change.

      Uplifting local government with KPMG

       

      KPMG’s Cities of Value framework supports councils to deliver greater public value across digital, physical and sustainability domains.

      We work with local governments to plan and implement service reform programs that improve efficiency, strengthen financial sustainability and enhance community outcomes.

      Explore our Local Government services or connect with our team to learn more.

      Local Government services

      KPMG’s Local Government team

      KPMG's Government-related thought leadership and insights

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      KPMG's Local Government team can assist in planning, developing, and implementing your service review program to enhance community services and ensure financial sustainability. Fill out the form below to discuss your specific needs.