Tullamore traders set to continue rates campaign

Commercial rates are crippling businesses in Tullamore town and in some cases are even forcing struggling traders to make staff redundant in a bid to cut costs. That's according to the Tullamore Chamber of Commerce President Tony McCormack, who warned that Tullamore is in danger of becoming a ghost town. He said that an urgent solution needs to be found. "Businesses are closing on a weekly basis and the rates base for the council is getting smaller and smaller. We need a credible plan to attract business to town. There was a lot of anger at the last meeting with the spin received by councillors. This is an issue that's not over, it will go on and on," he said. Mr McCormack was speaking in advance of a chamber meeting taking place next Tuesday evening, where business people will again call for a decrease in rates in front of invited town councillors and general election candidates. "We're meeting to explain to the councillors and to vent our anger at there being no reduction in rates," he said. "It's an inequitable situation for business people to pay the same amount in rates now, yet turnover has reduced and if they are breaking even then they are doing very, very well. Most are losing money and are hoping for a turnaround to survive." The top commercial rate payers in Tullamore are forking out a fee of €150,000 per year, while the average small business pays the council around €10,000 to €14,000 a year. "That's €300 or €400 a week, every week, without paying any staff, heat, light, services or any other costs," said Mr McCormack. "If you're a company paying out rates and if you can't reduce rates, you have to reduce your staff." In comparison, Mr McCormack said that many landlords have reduced their rents in the town so that they don't end up with empty units. Mr McCormack, who is also a Fianna Fáil town councillor, said that traders were disappointed by the failure of the town council to reduce rates this year despite Fianna Fáil councillors calling for a reduction. The chamber wants rates comparable to Athlone and Mullingar. The council argued that a decrease in rates would lead to cutbacks in essential services. A total of 54% of Tullamore Town Council's income comes from business rates, while central government funding has decreased significantly over the past three years. The rates meeting takes place in the Bridge House Hotel, Tullamore Tuesday February 22, at 8pm.