Five year freeze for high street traders - Leitrim Councillor

Leitrim councillor Cormac Flynn asked for the support of all councillors in requesting a five year rates freeze for high street traders and for the council to write to the Minister for Local Government to request assistance in developing new avenues for local authorities to gather revenues. 

Speaking at latest meeting of Leitrim Council Council, Cllr Flynn said: "We cannot keep going back to the same people all the time" adding that he knew match-funding is vital in order to fund capital investment schemes.

He said that high street traders face obstacles such as online traders, multinational companies, high rents and hikes in utility and insurance bills as well as the minimum wage. 

He stated: "There are 500 short-term lettings in Leitrim who are operating as businesses and not liable for rates. Even a small rate on those 500 lettings could offset any rate hike. There are people operating businesses in Leitrim who are not liable for rates."

He queried: "Is there a way that central government can work with the council to allow that?"

He praised the staff for the work that has been carried out in the county. 

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Cllr Enda McGloin noted that whether businesses have "a good year or bad year", the rates remain the same and he would welcome a "rebate system for small businesses". 

The response said that commercial rate increases since 2020 have been ringfenced to meet the match fund borrowing requirements of the Capital Investment Programme (CIP) as previously agreed with the Elected Members. The current CIP 2026 - 31 as considered by the members at the budget meeting in November 2025 has a total spend of €651m with a match funding requirement of €28m, which represents less than 5% of the total spend.

Cllr Vincent Dwyer, head of finance, noted that a "waiver scheme" is being looked at to offset challenges being faced by ratepayers and it would be implemented in 2027. 

He said that the valuation office are reluctant to look at premises that aren't business premises and that he didn't see the "rates system being able to address the online challenges". 

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Cllr Flynn said that "online has been around since the 90s and for it not to be captured by the rates thirty years later is very remiss to say the least. I'm not talking about cottage industries; there are operations who are solely online with industrial buildings in our towns and villages; who are online businesses and aren't being captured. And then there are the 500 short-term lettings in Leitrim. The high street traders are the fall guys."

Cllr Sean McGowan, who sits on the Local Democracy Taskforce, said he would raise the issue with the taskforce.

Cllr Brendan Barry said that "protecting ratepayers includes hotels, hostels, guesthouses" and that short-term lettings are "undermining" those ratepayers. 

Cllr Mary Bohan added she was aware of individuals who have renovated older houses and "it's not really running as a full-time business".

She added: "I know we have a shortage of housing but I don't think people renovating an old cottage are responsible for that and we need to be careful before we penalise that."

Cllr McGowan agreed with her comments. 

Cllr Justin Warnock said: "We definitely need to find a source of revenue outside the businesses that are already there."