Kilkenny Retailers Face Crisis as Council Votes for 4% Rate Hike

UPDATE: Kilkenny retailers are on high alert following the Kilkenny County Council’s unanimous decision to increase commercial rates by 4%. The announcement, made during last week’s budget meeting, raises concerns that local businesses may be pushed “over the edge” amid rising operational costs.

Just confirmed: The new budget for 2024 totals €129.4 million, reflecting an increase of €8.9 million (or 7.4%) from last year. While the Council aims to enhance funding for essential services, this increased expenditure will be partially funded by the significant rate hike, which John Hurley, CEO of the Kilkenny Chamber, warns could devastate already struggling retailers.

“Many businesses simply cannot take another hit like this,” Hurley stated, emphasizing the cumulative toll of rising energy costs, wages, and other economic pressures. “These increases may push some of them over the edge.”

Hurley is urging the local community to rally behind their businesses, especially as the holiday season approaches. “Our message is clear: support local businesses by shopping locally this Christmas,” he said. He also encouraged employers to consider the new Kilkenny Gift Card as a means to reward staff during the festive season.

The budget proposal allocates substantial resources to housing, with funding increasing nearly 20% to €36.9 million. Hurley acknowledged this as a critical step towards economic development and addressing housing shortages. “Businesses need employees, and employees need homes,” he noted, underlining the interconnected nature of these issues.

Additionally, the Council is boosting infrastructure spending, with increases earmarked for roads (€33 million, up 5.4%), amenities (€10.2 million, up 8.5%), and public spaces (10.3%). Hurley welcomed these investments as essential for supporting the growing population of Kilkenny.

As businesses brace for the impact of these changes, community support becomes more vital than ever. Local leaders are calling for solidarity as retailers navigate these challenging economic waters.

Stay tuned for more updates on this developing story and its implications for Kilkenny’s retail landscape.