Leitrim Council’s 5% rate hike sparks concerns for local businesses

Leitrim County Council’s recent decision to raise commercial rates by 5% in 2025 has caused significant concern within the local business community, particularly among members of the Carrick Chamber of Commerce, which represents over 400 businesses. Many business owners fear the increase could lead to further closures among already struggling enterprises. Despite strong objections from Chamber representatives, the rate hike was passed with the support of a 13-member coalition majority in the Council.

Finola Armstrong-McGuire, President of the Carrick Chamber, voiced disappointment on behalf of members, who are already grappling with rising wages, raw material costs, and general inflation. “Carrick Chamber members are disappointed with the rates increase of 5% in the current environment and despite the representation made,” she stated. “The future of business in Carrick relies on the support of the council. We sincerely hope that help is given to offset any charges in 2025.”

Councillor Des Guckian, also speaking on behalf of the Chamber, argued against the increase during the council meeting. “This additional 5% could potentially destroy some businesses, especially those already on the brink,” he said. “Do you want more business closures?” Cormac Flynn also suggested alternative revenue streams, though the 13-member coalition supported the increase.

Council Chief Executive Joseph Gilhooly cautioned that, without the proposed rate hike, crucial capital projects might face cuts. These projects include the Shannonside Recreational Centre, a new library for Carrick-on-Shannon, the South Leitrim Greenway, and other high-priority initiatives.

Further controversy arose over the council’s proposed 75% abatement policy for businesses that have permanently closed. Guckian criticized the policy, calling the term “abatement” misleading since these closed businesses would still face a 25% rate despite no longer operating. “This is a kick in the teeth for those already down,” he said, describing the measure as “immoral.”

While the council argues that the rate increase is essential to fund important development projects, business leaders warn that the policy could further strain small businesses already facing financial challenges. As the rate hike takes effect, it will test the council’s ability to balance supporting local enterprises with meeting the county’s development goals.