Chamber warns against 4% rates increase

Date Published: 28-Nov-2008

PROPOSED rate increase of almost 4% for city businesses will end up costing jobs all across the retail sector in the New Year, it was warned this week.

The City Council Draft Budget document for 2009 proposes a rate of €67.96 in the euro, representing an increase of 3.8% on the 2008 figure. However Galway Chamber of Commerce have ‘put it on the line’ this week that any increase in rates will have a direct impact on jobs in the city’s retail and business sector.

Michael Coyle, CEO of the Chamber, told the Galway City Tribune that any increase in the cost base of businesses and retail outlets, such as rates, would impact directly onto jobs.

“Consumer confidence is low and customers are looking for value. It is just not feasiblefor outlets to pass on this cost increase to their customers via a price increase.

“If more money is being taken from businesses, through a rates increase, it will mean either a reduction in …