The Government has unveiled a comprehensive package of allowances and benefits for local authority officials, including residential and commercial stands, motorbike loans not exceeding US$2000 and other privileges such as free parking and a grave during their tenure. However, no exit packages will be paid upon the completion of a councillor’s term. This is contained in a circular dated 17 July 2025, issued by the Minister of Local Government and Public Works, Daniel Garwe and addressed to all local authorities. According to the circular, mayors and council chairpersons will now receive a monthly allowance of US$265, while deputy mayors and vice chairpersons will earn US$243. Committee chairpersons will get US$229, and ordinary councillors will receive US$221 monthly. Minister Garwe noted that 20 percent of these allowances will be effected from January 2026. The announcement follows the 2025 All-Councillors Indaba held in Bulawayo in June, where Minister Garwe promised that a circular detailing the new perks would be released. “The circular comes into effect immediately,” said Minister Garwe. “Any circular that arbitrarily raised allowances without ministerial approval or awarded perks outside this circular should recover same forthwith. “Please note that by copy of this circular, the Auditor General is requested to ensure that the payment of allowances and the granting of perks is audited to ensure compliance to this circular. “Interpretation of this circular rests with the Secretary of Local Government and Public Works, and all previous circulars on allowances and perks are hereby cancelled.” To enable serving councillors to live in a dignified manner, Government has also introduced a once-off housing benefit for councillors who do not have residences within their wards. “Permission is granted for a councillor who does not have a residence within his/her ward to be allocated a single residential stand in their lifetime, within that ward, on which to construct a home for him/herself,” reads the circular. “The stand may be sold to the councillor at a discount of 40 percent of the normal land value. It will be offered on a lease with an option to purchase, with payments to be completed before the end of the councillor’s term of office. “Title may not be issued until the development of the home is complete. The councillor may not sell the stand or cede the lease during his/her term of office. The cost of servicing the stand shall be paid in full.” Minister Garwe emphasised that the allocation of a stand is “a privilege and not an entitlement”, adding “The stand acquired in terms of this circular is not for profit or aggrandizement.” Councillors may also benefit from minor perks that include free parking and a free grave during their term in office. In addition, councils may apply to Government for approval to provide councillors with motorbike loans, subject to strict conditions. “If a council wishes, councillors are to be availed with a 5-year motorbike loan facility,” said Minister Garwe. “The application to purchase motorbikes can only be done to the Minister and must contain justification for the purchase, the budget line and amount budgeted for the same, the type of equipment and justification, the cost and the conditions attached to the use of the equipment. “Councils wishing to utilise this facility are to purchase motorbikes not exceeding the value of US$2 000.” Minister Garwe also said guidance on the duty-free purchase of vehicles would be provided once Treasury concurrence is received and the relevant Statutory Instrument promulgated in line with Customs and Excise Regulations. Significantly, the Government has ruled out the payment of exit packages to any councillor after their term ends. Minister Garwe approved that no exit package be paid to any councillor on the completion of his/her term of office,the circular added.