Rates blow could drive traders out

Rates blow could drive traders out

20 May 2015

A WARNING has been issued that some businesses in Castlewellan could be forced to the wall as a result of a major increase in their rates.

A special meeting is being held in the town tonight to discuss the issue after some traders confirmed their commercial rates bills have almost doubled, while others have revealed they are questioning their long term future in Castlewellan.

Land and Property Service officials undertook a major exercise to revalue all business properties across the Province and while the review has led to rates reductions for some businesses, those in the manufacturing, retail and hospitality sectors have reported increases of up to 100 per cent.

Businesses across the district have all been affected by the rates review but those in Castlewellan feel they have been hit particularly hard,. The traders are now looking for help from the Department of Finance at Stormont and Newry, Mourne and Down Council.

Castlewellan traders Joe Rogan and Seamus Morgan say the rates increase is a major issue for the town’s business community and that it’s important all traders attend tonight’s meeting being held at The Lodge in the town. It is being organised by Castlewellan Regeneration Limited and a representative from Land and Property Services will be in attendance.

Mr Rogan said some traders are facing a rates increase of several thousand pounds which is going to make things difficult for them in the current economic climate. He said while business owners were aware their properties were being revalued by Land and Property Services “no one expected the increases to be so high.”

“In some cases, the rates increase is a substantial amount of money for businesses to absorb and given the current economic situation the hikes are devastating and could force some businesses to the wall,” he said.

“While trading did improve for a while over recent months, I have noticed a tailing off and things are starting to slow down again. The scale of the rates increase has led to a sense of doom and gloom for a number of businesses.”

Mr Morgan said the commercial rates for his shoe shop have doubled and warned the increase is placing a question mark over his future in Castlewellan.

“Businesses are already paying rent and now they face major hikes in their rates bills as well. Many of us face huge financial outlays before we begin to turn a penny. This is a situation that needs to be resolved. If it isn’t, I will have to think twice about continuing to trade in Castlewellan,” he said.

Both men are encouraging as many traders as possible to attend tonight’s meeting at The Lodge — which starts at 8pm — and hope local politicians and their Stormont counterparts will be able to help ease the financial burden they are facing.

Slieve Croob councillor Patrick Clarke shares the concerns of the Castlewellan business community and has asked Stormont Finance Minister Arlene Foster for an “urgent review” of the rates increase.

“I am aware some businesses have seen their rates more than double and given the current economic climate this is a real body blow,” he said. “Many traders are shocked and dismayed that their rates bills have increased by several thousand pounds. It is an issue which Newry, Mourne and Down Council must also help address.”

Describing the rates increases a number of businesses are facing as “unacceptable,” Councillor Clarke said those hit hardest are in the manufacturing, retail and the hospitality industries.

He added: ‘Some businesses simply cannot afford the major increase in their business rates due to the fact that Land and Property Services have left the revaluation of their properties for 13 years.

During this period, businesses have also seen their rent increase significantly.

“The Department of Finance must review the rates increase which could force some traders out of business. Consideration must also be given to providing financial help to reduce the hardships small business owners are facing.”