Commercial rates to be deferred for three months

Councils across the country have agreed to defer commercial rates for a three- month period to help businesses impacted by Covid-19.

Rates will be deferred until the end of May for businesses most impacted, primarily in the retail, hospitality, leisure, and childcare sectors.

Businesses contribute €1.5 billion in commercial rates to local councils every year, making up between 16% and 53% of total funding.

The Government said short-term cash-flow support for local authorities will be made available to offset the reduction in income.

Cork City Council director of finance, John Hallahan, said it will continue to work with ratepayers on a case-by -case basis and other supports are available through the Strategic Economic Development Directorate and Local Enterprise Office.

Business groups welcomed news of the deferral but said more needs to be done.

“The timeframe will need to be expanded upon further and the sectors represented will need expansion as the crisis unfolds,” said Cork Chamber CEO Conor Healy.

“The measures as they currently stand are aimed primarily at the retail, hospitality, leisure, and childcare sectors, for three months, but ultimately any business that has closed or faced major impacts should be eligible.”