City-centre firms fear rates rise

BUSINESS leaders in Cork have appealed that rates not increase next year because many have suffered a severe drop in trade due to a the general economic downturn and work on the main drainage project.

Last year businesses paid €38.8 million in rates and the figure for this year is estimated at €43.2 million.

Senior representatives from the Cork Business Association (CBA), told the lord mayor that a number of retailers had experienced a major drop in trade due to the drainage works and they were looking for, at minimum, a promise that rates would not be increased next year.

CBA president James O’Sullivan said that, while retailers knew the redevelopment of Patrick Street, Oliver Plunkett Street and the main drainage work was vital, businesses had suffered as a result. “We have written to the city manager appealing to hold the rates at the current level and not to increase them.”

Lord Mayor Colm Burke said the city’s rate base hadn’t expanded much in the last 20 years so the same businesses were footing increasing bills.

“We can’t expand the boundary, so we have to get more businesses into the city. The Port of Cork will be paying rates from now on,” he said, adding that it was imperative that derelict sites are rejuvenated.

John Macken, CBA vice-president said he’d received a huge amount of calls from retailers who had been hit by falling profits. “The work in the city has a lot to do with it. I know the end product will be excellent, but in the interim period the main drainage and clamping of cars is having a significant impact on trade in the city,” Mr Macken said. He added that the CBA was hoping, in conjunction with Cork City Challenge, to launch a major publicity campaign before Christmas to attract shoppers back.

Mr Macken also told the lord mayor that it was critical that car parking charges were not increased this year as they would deter shoppers from coming into the city.

“We are asking for a gesture with no increase in charges. we also want more signs put up around the city to show where multi-storey car parks are,” Mr Macken said.

FRANK HANLEY, CBA vice-chairman said he had undertaken a survey of businesses and their employees to judge the scale of parking problems in the city.

“Around 57% of business employees in the city use car parking spaces and it costs them an average of 30 to 40 a week,” said Mr Hanley.

He said that it was a large expense taken out of people’s wages and more workers would use park-and-ride facilities if they were made available. Mr Hanley urged the Lord Mayor to create more areas around the city which could be served by a loop bus service.

James O'Sullivan said he welcomed the development by the city council of a 900-space park and ride facility at the Kinsale Road Roundabout, 300 spaces of which should be open before Christmas.

He said he was concerned at some “over-zealous” clamping and tow-aways which were giving the wrong impression to visitors, while Mr Hanley said that the solution was more long-term cheap parking.

Concerns were also raised about a survey, released earlier this week by Irish Businesses Against Litter (IBAL) which showed parts of Cork were blackspots.

“We didn’t come out of that survey very good. The dirt and filth in some of the streets is unacceptable,” Mr O’Sullivan said.

The lord mayor felt people needed to be better educated about the effects of litter and Mr O’Sullivan urged him to highlight this to the younger generation when he carried out his annual school visits.

“We have to encourage young people and show them that litter costs money, jobs and tourism,” said the CBA president.

He also suggested that more people showed civic pride in their city by picking up bits of litter every so often and putting them in bins.

Following the meeting in city hall, the lord mayor said he understood some of the problems faced by the business community.

He said that benchmarking payments alone would cost the city council around €3 million next year.

“If the rates are cut then we may have to cut services,” said Councillor Burke.

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