Newry Chamber and city's BID join calls for rates relief as businesses ‘beyond crisis point’

The combined call comes after the recent UK budget hiked employers’ National Insurance and the Living Wage but provided 40% rates relief for independent retail, hospitality and leisure businesses to offset the increases in England.

Urgent requests to meet the First and deputy First Minister, Finance, and Economy Ministers and Secretary of State have been made to discuss the worsening cost of business crisis.

The letter, signed by Newry Chamber CEO Michael Savage and Newry BID manager Eamonn Connolly, says the 23 organisations represent a large coalition of business groups in Northern Ireland, representing members and workers in every local village, town and city and contributing billions of pounds to the local economy.

“The UK Budget has increased the Cost of Doing Business Crisis for local high street businesses to beyond crisis point, with thousands of businesses facing an uncertain future, scaling up plans cancelled, and additional employment put on hold,” the letter said.

“Our members are struggling to pay the highest business rates in the UK. The decision by the Chancellor to add to this burden by increasing Employers National Insurance will have a negative impact on local jobs, the viability of small businesses and restrict the growth of our economy.

“This hike along with a 6.7% increase in the Living Wage is a huge cost for our members to absorb.”

Pointing out that the Chancellor announced a welcome 40% rates relief scheme for independent retailers and other high street businesses in England, the organisations collectively called for the Finance Minister to use the Barnett consequential of this scheme to provide appropriate rates relief for high street businesses in Northern Ireland.

“This will offset the National Insurance increase and allow high street businesses to reinvest more of their money to create more jobs and boost our economy,” they said.

“Previously in England small businesses received a 75% reduction in their rates to assist with the Cost of Doing Business Crisis. Despite the UK Government giving Northern Ireland this funding as part of the Barnett consequential, local small businesses did not receive a single penny of reduction in their rates bills with the money going elsewhere in the Stormont Budget.”