Business groups in Northern Ireland have welcomed the decision by Westminster to freeze the regional portion of rates bills.
Secretary of State Chris Heaton-Harris announced that non-domestic regional rates – the portion of the annual rates bill which goes to Stormont – would be frozen for businesses for the coming financial year, while households will face a 6% hike. Mr Heaton-Harris made the decision in the absence of a functioning Executive which has yet to reform following elections last spring as a result of the DUP’s standoff over the Northern Ireland Protocol.
The move offers some respite for hard pressed businesses which are facing an increase in the portion of rates paid to the province’s 11 councils of around 7%.
Colin Neill, Chief Executive of Hospitality Ulster, said the Secretary of State’s decision on regional rates comes at a prescient time.
“This is welcome news at a time when cost pressures are hurting the wider business community and the hospitality sector in particular. We have fought hard and made representations to the Secretary of State to do more for business and for our industry and we are glad to see that he has heeded the warning signs and made this decision to freeze the non-domestic regional rate for the next financial year.”
Glyn Roberts, Chief Executive of Retail NI which represents independent retailers, agreed.
“Retail NI has welcomed the announcement that the Northern Ireland Secretary Chris Heaton-Harris has frozen the Regional Rate for Businesses,” he said. “Retail NI strongly lobbied the Secretary of State on this highlighting the disastrous effect a rise in the Regional Rate would have on already struggling businesses.”
