Business groups in St. John's don't like city council's warning of tax increases and new taxes in 2015.
The City of St. John's released its 2014 budget Monday, saying there would be no increases in residential or commerical property taxes for 2014, but there would be increases, and a new tax coming on stream in 2015.
Sharon Horan, the vice-chair of the St. John's Board of Trade, said the provincial government should help the city avoid tax increases for residents.
"St. John's is a regional centre so we have large hospitals, we have large government offices," said Horan. "We really need the government to to pay their fair share of taxes in our region."
The Newfoundland and Labrador branch of the Canadian Home Builders' Association has strongly disagreed with the city's plan to tax partially completed properties, starting in 2015.
The group sent out a media release on Monday, which said housing prices in the city have risen 93 per cent in the last seven years. It added the city should focus on making homes more affordable, not more expensive through taxation.
The City of St. John's will increase spending by almost 10 per cent in 2014 without raising taxes for homeowners or businesses.
"There's absolutely no tax increase on residential properties, on commercial properties," said St. John's Mayor Dennis O'Keefe Monday.
However, the city has forecast tax increases for the years 2015 and 2016.