Rates hike 'disgrace'

Gregory McGlinchey, who runs Ballykelly's 'Gregory Meats' says the increase will force his decade old business out of the Borough because he simply could not afford to compete with the charges. The Main Street proprietor has represented the borough and Northern Ireland in national competitions but says he could not cope with the hike of over three per cent on last year's rates.

Mr McGlinchey told the Sentinel: "It's an absolute disgrace that the council think it is ok to put this pressure on business people in the borough who are already paying the highest rates throughout Northern Ireland."

The butcher continued: "I have friends in Derry, running the same size of business as myself and they are paying far less than me. Down south, even in Scotland and parts of the main land, their rates are minimal compared to here. It is a joke that even city centre traders are paying less than an area such as Ballykelly."

"No business can survive these increases. God bless anyone even thinking about opening up a business in this area. Four shops closed last week in the borough alone, can the council not see that traders just cannot cope?"

The award winning business man also revealed that he has to pay over 4,000 a year to a private company to collect his Ballykelly shop's cardboard and raw meat waste, on top of a 6,000 rates bill from Limavady Borough Council.

He continued: "There is no way I could keep this shop open paying that. Altogether I would be paying well over 10,000 a year before I even open the door of the shop because of the rates and the private waste services which I have to use because the council won't lift my cardboard and meat waste.

"The council need to take this figure back in and lower it. If not I can tell you that within 24 hours of them telling me that this hike is remaining I will shut up shop and be out of Ballykelly and out of the Borough."

Last week Limavady Borough Council announced that it had struck the 7.58 per cent increase for the year 2010/11. The hike means the average 100,000 valued home in the area would see their rates up by 28 each year. Various reasons were given for the increase including the new civic centre, provision of new sporting facilities, the Foyle Ferry and unexpected expenses of two former MOD properties in Ballykelly. Limavady business owner Richard Acheson echoed fellow trader Mr McGlinchey's remarks and called on councillors to push for a complete review of the rates figure.

Mr Acheson said: "If this figure is implemented Limavady Borough Council are looking at a retail desert throughout the entire borough. This increase is completley unaffordable, not just for businesses but for families as well.

"How the council can release a figure like that at times like these beggars belief. Businesses habe had to make cut backs, so do councils and that is not what Limavady has been doing."

"Limavady, Dungiven, Ballykelly, every area of this borough have been seriously affected by the economy. Every pound that is taken out of the pie is out of the disposable income that could be going into businesses in the town. New traders without a doubt are being put off by the rates and the fear is that the businesses that are already operating in the area will just leave because this increrase is not a sustainable figure."

A spokesperson for Limavady Borough Council says it was committed and conscious of "tight and effective budgetary control" and defended the rates percentage for 2010/11. Addressing some of Mr McGlicnchey's concerns the spokesperson stated:

"Council collects, and disposes of, clean cardboard waste once a week, every Friday, free of charge to commercial businesses who presently receive a residual waste collection. Under Animal By-Products (Northern Ireland) Regulations 2003 however, council is prohibited from collecting and disposing of raw meats to prevent the spread of pathogens and animal bourne disease."

Stating that "unforseen issues" contributed heavily to the 7.5per cent hike, the spokesperson added:

"Council's rate increase for 2010/2011 is 7.57%. Most of this increase was outside council's control as 1.19% is attributed to the fact that council will be receiving a reduction of the general grant from central government of 81,000. In addition 3.7% is attributable to the fact that the MOD bases at Clooney Road, and Dukes Lane, Ballykelly were declared vacant as from July, 1 2008 resulting in a loss of rates income for 2010/2011 of 225,000."

The spokesperson continued: "Council only received notification of this on January, 29 2010. Had it not been for these two unforeseen issues, council's increase would have been the lowest in 15 years. It should be pointed out that as a result of the regional rate increasing by 2.7%, the overall net increase for a commercial premises for 2010/2011 will be 4.95% and the net increase for a domestic householder will be 3.86%. In setting the rate for next year, council is most conscious of the need to maintain tight and effective budgetary control, strike a reasonable rate while endeavouring to maintain reasonable reserves in line with Local Government Auditor Guidance."