Council members opt to leave commercial rates unchanged
The commercial rate in Westmeath is to remain unchanged for 2025, after councillors refused to sanction the three per cent hike proposed by the council executive, which was to be the first of a series of three per cent annual increases between now and 2029.
Homeowners are, however, to see the local property tax (LPT) increase, as councillors had decided at a meeting in September to vary the basic rate of the LPT upwards by 15% from 2025 to 2029.
In their bid to avoid raising the rate, councillors had the meeting adjourned to allow them come up with measures that would make up the shortfall of €392,751 their decision on the rates would create.
Prior to that, county chief executive Barry Kehoe, setting out the current and projected budgetary position, told members that in preparing the budget, the management team wanted to lay the groundwork for the council’s term through to 2029.
To that end, he said, it was vital that the council adopt a medium-term approach, so that the development of Westmeath and, thereby, the quality of life locally, could be maintained and improved to the maximum extent possible.
Mr Kehoe said the council’s draft budget anticipated expenditure in Westmeath this year of a total of €117.6 million, an increase of around €9.5 million on the 2024 figure of €108.1 million.
The increase in the Local Property Tax would, he said, take the allocation to the council of funding from the Minister for Housing, Local Government and Heritage to €13,735,547 for 2025. He said the members’ decision at their September meeting to increase the baseline by 15% for the tenure of the current council up to and including 2029 will realise additional income of approximately €1,030,000 for each of those years.
Following presentation of the executive’s proposals, Cllr Ken Glynn opposed the council move to increase commercial rates, saying that when the suggestion had first come before the corporate policy group (CPG), the members were strong in their opposition to any increase, “given the difficulties that are out there for businesses at the moment”.
“There’s no support on this side of the house for any rates increase.
“We need to keep Westmeath competitive,” he said.
Cllr Glynn was backed by Cllr Frankie Keena, who suggested that the meeting adjourn to allow councillors examine ways of making up the shortfall.
Labour’s Cllr Johnnie Penrose remarked that 3 per cent would be a severe hit on businesses, and Cllr Denis Leonard, also Labour, said such a move would mean penalising businesses.
Cllr David Jones said that he and his SF party colleague, Cllr Julie McCourt, would also be opposing an increase in the rates, while Cllr Mick Dollard also had reservations.