The Finance Minister hopes the scheme will give business owners who set up in empty premises help to get established in the first two years.

““This rate relief scheme will help attract businesses onto the high street and into our town centres. This revamped scheme builds on the rate relief previously offered, and extends the relief for an additional year.  This will be vital in boosting post pandemic footfall for all businesses, new and existing, and will help restore the vibrancy of the high street as shoppers, tourists and workers return to the town centres,” he said.

“I have seen the effects of the pandemic during visits to town centres in recent months and I hope this scheme will support the regeneration of our high streets, building up business occupation in these areas.”

The Scheme offers 50% rate relief for up to two years when empty premises become occupied. There are currently over 12,500 vacant business premises across Northern Ireland.

The previous scheme, which expired in 2017,  supported over 550 businesses. The new Scheme concession applies to any business ratepayer who moves into premises, which were previously used for retail purposes and have been unoccupied for 12 months or more.

Minister Murphy adds: “There are many opportunities for new businesses to move into their first premises and for existing businesses to expand.  With over 12,500 empty properties available, I hope this rate relief will encourage businesses to take the opportunity, knowing they will have discounted rates to pay for the first two years.”

Retail NI Chief Executive Glyn Roberts said: “Given the huge challenge of addressing dereliction on our high streets, this scheme is both welcome and timely. It will incentivise and support new start independent retailers and other businesses with their all-important first two years of trading.”

Further information on the Back in Business scheme, can be found at: www.nibusinessinfo.co.uk/backinbusiness. The scheme will open for applications in May.

Caption: Finance Minister Conor Murphy with Julie Gibbons, President, Newry Chamber of Commerce and Glyn Roberts, Chief Executive Retail NI

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Finance Minister Conor Murphy said he intends to provide businesses with a £50 million rates support package in the 2022/23 financial year as well as continuing the Small Business Rate Relief which will benefit thousands of business premises. He also announced he had secured Assembly backing to freeze the regional rate for another year.

Visiting Two Sisters artisan food and craft store and Bumbles Day Care in Belfast, which will benefit from the extension of the rates holiday, Minister Murphy said:“Over recent months I have visited businesses from all sectors across the North. The common message coming from these businesses has been that the rates holiday was a vital lifeline for them during the pandemic.

“As businesses continue to rebuild, I am announcing a further £50 million rates support package to support the recovery. This will provide all businesses with a one month rates holiday with the exception of utilities and larger food stores while retail, hospitality, tourism, leisure, childcare, newspapers and airports will receive a three months rates holiday. Businesses in these hardest hit sectors have paid no rates since March 2020 and will now pay no rates until July 2022.”

Welcoming the Assembly approval on the regional rate freeze, Minister Murphy said: “Recognising the cost of living crisis, I had proposed as part of the draft budget a proposal to freeze both the domestic and non-domestic regional rates for the next three years. This freeze was intended to help with the rising costs being faced by families and businesses alike. While a final budget for the next three years has not been agreed by the Executive, I can proceed with this freeze for the first year. The Assembly backing today will freeze household and business rates for the next 12 months, giving households and businesses certainty in the immediate time ahead.”

The Finance Minister also announced the extension of the Small Business Rate Relief scheme, under which small businesses automatically receive a reduction of between 20% and 50% on their rates. Outlining the importance of this for small businesses, Minister Murphy said: “Small businesses are at the core of our local economy and have a vital role in contributing to employment opportunities. I am glad to announce the continuation of the Small Business Rate Relief scheme which currently supports almost 29,000 business premises. The extension of the scheme sends a strong message of the important contribution of the small business sector.”

The Minister concluded: “While it’s not possible to finalise the 2022-2025 Budget, businesses need certainty and to be able to plan ahead. These vital measures build on the around £1 billion support my department has provided through rates relief and Covid grants and will give businesses time to recover.”

Retail NI Chief Executive Glyn Roberts said: “This is a very welcome package of support for our members and the broader business community. We appreciate that the Minister has listened and acted upon the concerns of our members.”

“Continuing the Rates holiday by another 3 months and extending the Small Business Rate Relief scheme will be well received by small traders particularly given the twin pressures of rising energy costs and the forthcoming National Insurance hike.”

“After the Election it is important that the Assembly and Executive agree a broader reform of the entire system of business rates as they are the highest in the UK.”

“This package is a significant step in the right direction but much more will be needed to support the recovery of our high streets.”

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Addressing MLAs at the Assembly, finance minister Conor Murphy said: “I do intend to proceed to freeze both domestic and non-domestic regional rates next year, which will help with the rising costs faced by families and businesses. Unfortunately, I cannot extend this to the three years as previously intended.

“I will also progress with the £50 million rate relief package to support a rates holiday for businesses. This will provide a three-months rates holiday for retail, tourism, hospitality, leisure, childcare, newspapers and airports which are the sectors hardest hit by the pandemic.”

The NFRN’s Northern Ireland president, Coleraine store owner Joe Archibald, said: “The holiday and freeze on rates is much needed because there is still a lot of recovery to be done following the pandemic.

“There really needs to be a full review of business rates because they are scandalous in some cases, but any help we can get at the moment is to be welcomed.”

Mr Murphy said over £300 million in additional funds earmarked for the next financial year cannot be spent due to the resignation of DUP first minister Paul Givan.

The Finance Minister sought legal advice from the attorney general on whether he could bring the draft budget for 2022 to 2025 to the Assembly despite ministers having not signed off on it.

It proposed a 10 percent increase in health spending, with £21 billion earmarked for services over the next three years.

“Unfortunately, the legal advice is clear that the budget must be agreed by the Executive,” Mr Murphy told MLAs.

“This means that on April 1 the health service will not be able to plan on a three-year basis, nor will it be equipped with additional resources to invest in waiting lists, cancer services and mental health.

“In these circumstances, rather than improving, the health service will decline.”

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“We look forward to working with the Minister on his new proposals to increase to 24 months’ rates relief for retailers who occupy vacant properties. This has been a long-term policy priority for Retail NI and is important if we are to address the huge problem of dereliction on our high streets.

“It is disappointing that the Executive could not agree on this budget and does make it difficult for business and civic society to respond to the document if there is not consensus amongst the five parties.

“If the parties do agree a new budget in the next few weeks, will this consultation be stopped and a new one started?”

The post Smaller retailers in line for proposed 3-month rates holiday extension: Murphy first appeared on Neighbourhood Retailer.

The special provision in the Coronavirus Act 2020 which was first applied at the end of March 2020, is being extended once again, until 30 September 2021, giving a total of 18 months special protection.

Making the announcement, Conor Murphy said: “Although most restrictions have now eased, economic recovery will take some time and I believe the extension of these provisions is necessary to give businesses some much needed stability and certainty in the months ahead.  

“This protection for tenants has been accompanied by significant financial packages of business support provided by the Executive. In addition to the grant schemes, over £500 million in business support through 24 months of rate holidays has been provided to the hardest hit sectors, including retail, hospitality, leisure and tourism.

“As we move forward, we continue to take full account of our local situation here for both tenants and landlords; this three months period ahead gives us the opportunity to engage with the business sector in relation to next steps.” 

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