Businesses in Kilkenny were disappointed to hear that there is to be no rate reduction for businesses this year although the business community in Kilkenny have communicated to the council that they are struggling to stay afloat.
It was decided at this week’s budget meetings for the county that the rates would remain stagnant this year, at a time when businesses are closing their doors due to lack of demand for business.
However in a small gesture the council agreed to reduce water rates for businesses by 1.5 per cent which will go some way towards reducing financial pressures.
The Chamber had advised that a rate reduction of five per cent would be appropriate this year and Carlow County Council recently announced that it would be reducing rates for businesses for next year.
Alison McGrath CEO of Chamber Kilkenny said that she had been hopeful that the council might listen to the concerns of local business and reduce the rates next year.
“For many it may be the difference of staying in business or closing the doors forever,” she warned.
“Local businesses are just trying to stay afloat in this climate and every extra cost makes a big difference to many. It would have made a big impact - particularly on smaller enterprises if a rate reduction had been introduced.”
Fianna Fail had suggested a two per cent rate reduction in its budget recommendation for the year ahead, however, Sinn Fein, the Greens, Labour, and Fine Gael borough council members voted against the motion and voted instead of keeping the rates at the current rate.
In proposing these budgetary amendments, borough council FF whip Cllr Joe Reidy said: “This would be a tangible example of Kilkenny Borough Council supporting local business. It would give a boost to a beleaguered business sector and thereby protecting jobs.”
