Sally Capp to stand down as lord mayor of Melbourne

Sally Capp, Melbourne’s first directly elected female lord mayor, is stepping down after six years in the job.

The timing of her resignation – she will depart in June – means a byelection for the mayoralty will be avoided, allowing her deputy, Nicolas Reece, to take the reins and become mayor before local government elections are held in October.

Capp made the expected announcement on Thursday morning, a month after a long break that included a voyage to Antarctica with her sister where, she told The Age, she contemplated her future.

“I am full-on, full-time, and that’s what I considered when contemplating whether to take on another four-year term,” she told radio station 3AW on Thursday morning.

“And Melbourne’s on a fantastic trajectory, so it’s time for me to move on.” She later added that she couldn’t put her family through another four years in the role.

Capp was first elected mayor of the City of Melbourne at a 2018 byelection triggered by the resignation of Robert Doyle over sexual harassment claims against him. The former commercial lawyer and Victorian director of The Property Council of Australia was then re-elected in 2020.

“It is with mixed emotions that I am announcing I will not be contesting the next local government election,” she said on Thursday morning.

“I love this job – it is an honour and privilege to represent the people of Melbourne.”

Capp told 3AW that her early departure would make Reece, an ex-Labor adviser to former prime minister Julia Gillard, the incumbent when council elections are held in October.

Reece is expected to fight for a four-year term among a broad field of candidates. However, former Victorian senator and media identity Derryn Hinch, 80, has already backflipped on his recent pledge to run for mayor.

Melbourne Lord Mayor Sally Capp.Credit: Joe Armao

“This is a sad practical post,” Hinch posted on social media platform X two days ago.

“I am withdrawing as a candidate for lord mayor of Melbourne. I’ve concluded a campaign would cost $250,000 – $500,000. Money I don’t have and wouldn’t expect to raise. The Justice Party cost me a lot. Would have loved to have given it a shot. Sorry.”

Hinch put his hand up to run in late February. At that time, Capp’s future was still the source of speculation, but not one of the dozen people in local government circles that The Age spoke with in early March thought she would run for a third time.

On Thursday, Capp said her time as lord mayor had been eventful.

“The City of Melbourne was in dire need of leadership when I was elected as lord mayor in 2018. There were significant internal and external issues – including a culture of unacceptable councillor behaviour and delays on major projects, such as the renewal of Queen Victoria Market,” Capp said in a statement.

“We faced acts of terrorism in the city, followed by the profound challenges of the global pandemic and long lockdowns.

“Despite this, together we have driven the revitalisation of this magnificent city – emerging as Australia’s largest city, the world’s third most liveable, and the fourth-best student city globally.

“We have seen record-breaking crowds at every major event recently, driving up foot traffic and boosting business across the city.

Sally Capp at last year’s Melbourne Comedy Festival launch.Credit: Penny Stephens

“I know hardship is still a reality for many business owners and residents, but the upward trajectory is undeniable. We are once again the driver of Victoria’s economy and a major contributor on the national stage.”

Premier Jacinta Allan said Melburnians should thank Capp for her service, telling ABC Radio Melbourne on Thursday morning that it had been “a turbulent time at City Hall” when she took over.

“She stabilised the organisation. She had to lead the city through the pandemic. And I know, from first-hand experience, just how hard she has worked over the number of years she’s been the lord mayor,” Allan said.

“Her incredible positivity, too, should not be underestimated in terms of some of the slings and arrows that have been thrown her way. So I think we should all thank her for the commitment she’s made to the role and wish her and her family all the very best.”

The premier said she expected Reece to do a fine job as temporary lord mayor, but she declined to comment on the looming local government elections.