A number of towns and cities in Northern Ireland were devastated by severe flooding at the end of October, including Newry, Downpatrick and Portadown with scores of business owners left reeling by the damage done.

Businesses on Sugar Island in Newry were seriously damaged, with shops including Gordons Chemist, a Post Office branch as well as Friar Tuck’s restaurant and clothing shop, McCartan Brothers badly impacted by flood water and sewage.

Similarly, countless businesses and properties in Downpatrick were severely damaged with some owners unable to enter the buildings until the flood waters subsided.

Business owners have been left counting the cost of the damage and many fear having to pay thousands of pounds of their own money to pay for repairs.

On 8^th November, Chris Heaton-Harris MP visited Newry and Downpatrick and spoke to business leaders, some business representatives and the Chief Executive of Newry, Mourne and Down District Council.

While in Newry, the Secretary of State announced that £15 million would be made available in funding for flood-hit businesses. He stated that they would work closely with the NI Civil Service and local councils to “ensure that support gets to those who need it as quickly as possible”.

However, while there was a cautious welcome for the funding, many of those affected by the flooding have said it is not enough.

President of Newry Chamber of Commerce, Julie Gibbons said the meeting with the Secretary of State had been “very engaging” but said there was much work to be done.

“While we welcome his engagement and the £15m he has announced through the reallocation of existing NI funds this is a positive start, but it is only the beginning,” said Ms Gibbons.

“We do not yet know how this scheme will be administered but it will need to be agile and swift and we will keep businesses informed as more details emerge.”

NMD Council Chief Executive Marie Ward made a strong case for more funding to come from the UK Government, stressing that the current projected need in the area is “at least £37 million”, with this figure likely to grow in the coming weeks.

“The businesses at the meeting made an impassioned plea for significant financial support and the Secretary of State acknowledged the scale of the financial need to help get the economy of this region back on its feet,” added Ms Gibbons.

“It is imperative that the analysis required to prevent this devastation from happening again begins as soon as possible and the necessary infrastructure investment follows.”

Meanwhile, Retail NI and Hospitality Ulster jointly welcomed the announcement of the £15m as a first step toward recovery.

Retail NI and Hospitality Ulster Chief Executives Glyn Roberts and Colin Neill said: “This is a welcome first step towards the recovery and reopening of the impacted businesses. The next challenge will be getting the funding structure in place and payments distributed as quickly as possible.

“While this funding is welcome, much more will be needed to ensure Newry, Downpatrick and the other areas affected can rebuild for a speedy return to normal trading.

“Speed is of the essence to ensure that these businesses do not miss the vital Christmas trading season.”

The post Cautious welcome for flood funding, with warnings more cash will be needed first appeared on Neighbourhood Retailer.

Neil Johnston has appealed to Chris Heaton-Harris to hold off on imposing a further increase and has urged him to freeze them for 2023-2024.

“Northern Ireland already has the highest business rates in the UK and the NI Secretary of State mooted the possibility of a further increase for the coming year in a written parliamentary statement in late November,” said Mr Johnston.

“What do the Conservatives in London, Labour in Wales and the SNP in Scotland have in common? They all agree this is not the time to raise business rates. They have all decided to freeze business rates,” he added.

The Retail Consortium represents the overwhelming majority of the retail trade in Northern Ireland by turnover, encompassing many high street names who provide everything from coffee to clothing, a lot of the larger retailers and virtually all the main supermarkets.

DECISION NEEDED

Mr Johnston also revealed that he has written to the leaders of the five main political parties asking them to back a business rates freeze.

“We currently don’t have an Executive and that is why this decision has fallen to the Secretary of State, but the Retail Consortium think it is important that the local party leaders make their positions clear. The freeze in England, Scotland and Wales was announced towards the end of last year. We need a decision soon and I hope they will join our call to keep costs down.

“Given the current weak economic situation the last thing businesses, and consumers, need to see is business rates rising. It is essential that they are at the very least frozen for 2023/24. We have written to Chris Heaton-Harris appealing to him not to go down this road,” said Mr Johnston.

STRUGGLING

Mr Johnston maintained that retailers were still reeling from the pandemic, the energy price shock and the general inflationary situation and are ill placed to absorb any increases, especially as they strive to keep down shop prices for customers.

“Raising the business rate is a bad idea, not just because of the extra burden it would impose on retailers, but because ultimately consumers across Northern Ireland could face higher prices as a result. It is essential that we all work collaboratively to help everyone through this difficult period.

“Retailers are doing everything they can – not just to remain competitive in a difficult trading environment but to do what they can to protect consumers. We know that people are struggling.”

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