Councillor warns any further increase on rates for businesses will lead to more closures
BUSINESSES FACING 'A PERFECT STORM' Fine Gael councillor, Peter Flynn.
Oisín McGovern
ANY further increases in rates will cause ‘carnage’ for local businesses, Westport-based county councillor Peter Flynn has warned.
Cllr Flynn was speaking at the monthly meeting of Westport-Belmullet Municipal District Council, where councillors voted to publish an expression of interest for the construction of a two-storey car park in Westport’s Mill Street.
The Fine Gael councillor said more parking was necessary in anticipation of new houses in the area as well as traffic from the soon-to-be-opened N5.
He warned that businesses were facing ‘a perfect storm’ of rising rates, energy bills and other various costs.
Cllr Flynn added that an economic downturn in Westport would have ‘ripples’ in other areas.
“We’ve seen over the last number of weeks the number of long-established businesses that are closing or who have closed in the town centre of Westport. It really is concerning, and that’s before the new rates kick in,” he said.
“When the rates kick in, I hate to say it, but there’s going to be absolute carnage in our town centre in the year to come.
“If something isn’t done about the rates bills that are coming at businesses in Westport town, we are going to have a major, major problem,” Cllr Flynn added.
“This something not controlled by anyone around this table, this is something that’s controlled by central government and the rates system is absolutely crazy.”
Cllr Brendan Mulroy warned that hikes in rates and energy bills were sending ‘alarm bells ringing’ in businesses across the county.
Last November, Westport-based publicans warned local representatives that further increases in rates would lead to ‘a tsunami’ of business closures.
Mayo County Council controls the Annual Rate on Valuation, which it has currently set at €78.42. The local authority collected approximately €40 million in business rates in 2022.
Cllr Mulroy said that an increase in business rates, as well as the withdrawal of government business support schemes, would leave many businesses struggling to survive.
“Not only is the rates going through the roof, but their costs – and I appreciate there is some help out there for them at the moment… but in my experience when things go up in prices they tend not to go back very quickly.”
Cllr Gerry Coyle described the current rates system as ‘absolute lunacy’, adding that he was ‘not surprised’ that businesses were closing.
Referring to his own filling station, the Erris-based councillor said: “We don’t have sewerage, we don’t have lighting, we have to pay separate for the water. Yet we are rated the same as someone that’s on the main sewer in the town.
“Where the road back is, I’m not sure. But there’s no roundabout; we have to keep going,” Cllr Coyle added.
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