Kilkenny TD backs Green Party proposal for commercial rates refund

Green Party TD for Carlow/Kilkenny and Minister for Nature Heritage and Electoral Reform Malcolm Noonan has welcomed the Green Party’s proposal for rates refunds for more than 100,000 small businesses across the country in the coming Budget.

The move would provide a significant boost to Kilkenny's shops, restaurants, and small businesses, many of which are struggling with recent cost increases and competition from online retailers. Green Party leader Roderic O’Gorman, who visited Kilkenny earlier this month, has written to the Taoiseach, Tánaiste, and Minister for Finance with the proposal, which he wants introduced on a permanent basis. 

The party has also proposed that local councils would be compensated by the Exchequer for the loss in revenue so that local services would not be affected.

Speaking at an IBEC (Irish Business and Employers) meeting for TDs for the south east region today, Minister Noonan said that under the proposal, small businesses who pay rates in the region of €3,000 a year would receive a complete refund, with larger businesses availing of a 50% reduction, up to a limit. The move, he said,  would help support small employers while also recognising the vital role small businesses play in drawing people into towns and villages.

“In cities like Kilkenny, and in our smaller towns and villages, it’s the family-owned shops, restaurants and businesses that are the beating heart of a vibrant town centre. We can’t afford to lose the unique offerings they bring to our local economies and the character and charm they lend to our town centre streetscapes. It’s tragic to see more and more of these family names disappear from over shop doors and to have them replaced by generic high street brands, or even worse, by empty spaces. I spoke in the Dáil yesterday about the crisis levels of vacancy in our small towns, and supporting our small businesses is one way to address that.

“From our smallest villages to our growing suburbs, we have to support small businesses and give them a fighting chance to compete against the big multi-nationals and the edge of town developments. A rates refund similar to what the Greens are now proposing has proven very effective in Scotland, and in a cost of living crisis, having one less bill to worry about could make all the difference to the survival of a small business.”

Small businesses are charged rates by their local authority based on the “rateable valuation” of the property, which is equivalent to its rental value minus certain costs. The final bill is calculated by multiplying the rateable value by the local rate, which varies according to each council.

Under the Green Party proposal, businesses with a rateable value of up to €15,000 would qualify for a full refund on their final rates bill, while businesses with a valuation of between €15,000 and €20,000 would benefit from a 50% refund.