Councillor: rates increase ‘another nail in coffin’ for traders

LOCAL county councillors around Ennis this week had numerous calls from business owners upset at the new rateable valuations they had received.

“It’s causing an awful lot of stress on businesses and employees in businesses,” said Fine Gael’s Johnny Flynn.

“You may recall at the budget meeting last year I voted against the 3.8% increase in the rates for a number of reasons.

“One was I believed it was premature until the revaluation was carried out, it was kind of taking advantage before ratepayers were informed how that would impact on them.

“Between that increase and the revaluation a lot of ratepayers have contacted me. Also, since this Council was elected I’ve seen the budget to run the Council go from €117 million in 2019, to €128 million in 2020 to €131.5 in 2021 and for this year it was €138.6 million.  It’s a very significant increase and the ratepayers are carrying about a third of that.”

He said that some people are considering closing down as a result of the new valuations.

“As late as this morning someone from a second generation men’s shop in Ennis contacted me. His rates, taking into account the rates and the multiplier, were going from €2,300 to just short of €6,500.

“He said that with it coming in for 2024 he’d be 66 then, it wouldn’t be worth his while, he’d close the business, convert it into a townhouse and the Council will only get the property tax. 

“It’s a real disincentive for small independent businesses, facing the crisis of higher energy costs, increased costs in business and trying to maintain the salary levels of their employees so they can meet the cost of living increases.”

Councillor Flynn warned that jobs are likely to be lost.

“It’s supposed to be revenue neutral for Clare County Council, the statute says Clare can’t collect more, that it’s not to be a revenue generator.

“But anyone that’s contacting me is seeing a significant increase. One restaurant is about €3,500 but their calculation now is around €10,000. A supermarket that’s around €21,000 is going to around €35,000. These are businesses that employ a lot of people, it’s going to have a huge impact on employment locally.”

He said that people have until early November to lodge an appeal against their valuation and they should consider doing so. 

Fianna Fáil’s Pat Daly also said any increase in rates bills will be very serious.

“What I would say is that we’re after a tough number of years and the businesses of Ennis and throughout the county, the last thing they want is a revaluation of their properties.

“By doing that, it’s another nail in the coffin, it’s not helping them.”

Rates bills should not be increased at the moment, he added.

“I think they should be left with the same valuation for five years and see how things go. Things are very difficult at the moment.”