Mayo businesses and communities will crumble under rates burden

BUSINESSES and communities will crumble unless support is forthcoming as business owners stare closure in the face due to rising costs.

Action is needed at government level to address commercial rates in Mayo, some of which have risen by several hundred per cent following a revaluation process.

It is particularly biting people in the hospitality sector - bars, hotels, restaurants - where insurance, energy, VAT and labour costs have also increased.

West Mayo members of the Vintners Federation of Ireland voiced their concerns at the monthly Westport-Belmullet Municipal District, held in Hotel Newport, where they painted a stark picture.

Representative David Keogh, Westport, explained the majority of rates for pubs and hotels have gone up 60-70% but some have seen a 200% hike in their bill. Energy costs have risen by 300%.

They were willing to pay their fair share but the increases being faced were 'astronomical'.

It was a national issue but he appealed to local councillors to start the ball rolling.

Michael Henehan's family have been in business in Westport for 100 years but with the changes in operational costs he did not know how much longer the business would be sustainable.

They needed support, he said, warning that without it businesses and communities will crumble.

Achill Councillor Paul McNamara explained how pub, hotel and restaurant valuations are based on turnover as well as building size. Those decisions are made by civil servants.

These local businesses are very important to the economy and they had to be listened to before it is too late, he implored.

A message has to go to government to look at the valuations because unless they get help, these business won't be there.

Councillor Brendan Mulroy said they should be looking at a situation where rates have to come down. The revaluation would put people out of business, he warned.

The onus was on them to go to central government to say this is not working. There will be no tax, no revenue and no employment.

Councillor Peter Flynn said rates in some other towns have dropped but in Westport they have 'rocketed'.

He felt a town or borough style of local government needed to be progressed so that rates paid locally stayed locally.

Small family-run businesses are the lifeline for rural areas, commented Councillor Sean Carey. They were trying to survive and were then hit with increased rates, as well as everything else going up.

If that continued they wouldn't be there going into the future.

He suggested there should be a two-year break where rates are not increased.

The importance of many of the businesses affected was highlighted by Councillor Johnny O'Malley who said they are an important part of the social fabric of our towns.

The situation was that the harder you worked, the more you would pay. The government needed to look at the whole situation.

Cathaoirleach Councillor Christy Hyland said he has met people who are 'very scared and worried about the future'.

“Stop punishing the people who create jobs in this country,” he said.

The council has already requested for the revaluations appeals process to be extended and Councillor Mulroy suggested they seek a meeting with the Tánaiste, including the Chamber of Commerce.