Rising costs threatening town centres, say traders

Business owners in Strabane, County Tyrone, have called for more to be done to support town centres as traders struggle with rising costs.

It comes as small business owners in the town are meeting on Wednesday evening to discuss concerns, including the level of business rates they are paying.

A number of traders have said that the growth of online shopping, alongside rising staffing and operating costs, has left many struggling to stay afloat.

Derry City and Strabane District Council said it offers a range of supports and rates reliefs, and is investing in major projects while keeping rate increases as low as possible.

Speaking to BBC Radio Foyle's North West Today programme, Danny Gallagher, owner of RK's Menswear in Strabane, said it is increasingly difficult to run a business.

"I worked here from 1982 to 1991 and Strabane, like many towns, is not the same as it was back then," he said.

"Online shopping definitely affects us and footfall isn't what it used to be.

"Between your rent, rates, electricity, broadband, and the cost of staff, it's getting harder and harder to make ends meet."

He said he pays more than £3,000 a year in business rates but feels he is not getting value for money.

"When you hear things like we're the second highest in Northern Ireland for rates, it's a bit maddening.

"We're actually higher than Belfast, and Belfast is buzzing.

"I wouldn't think there are as many businesses closing there as in Strabane, Derry, and other local towns, so no, it's not worth it."

Gallagher said the council needs to take a good look at town centres and reduce rates so that it can attract businesses.

"You take a drive around Strabane and most towns, and the number of closed businesses - shutters down, dilapidated buildings - there's got to be something done to attract people back into town," he said.

Declan Hughes, owner of Gormley Shoes, said he pays up to £7,000 a year in business rates, even with small business rate relief.

He has traded in Strabane for decades, but said conditions have worsened.

"I've been here 30 years and when I look at that back street there, it's just shocking," he said.

"There's been next to no money spent and no forward thinking."

He described talk of a town-centre regeneration as long overdue.

"When we first came here in 1994, there were plans for Strabane by 2000, but most never came to fruition," he said.

He said the town centre needs a clear long-term vision, including an enterprise zone.

"That means zero rates, or as low as possible, otherwise you're not going to attract entrepreneurs.

"They're not going to choose the town centre because it's too expensive."

Michael O'Neill, who owns Floral Bliss, a flower shop in the town, said the number of shutters down throughout Strabane is a worrying sign.

"A lot of the businesses, as you can see if you look around, have their shutters down due to the high rates and the lack of footfall," he said.

O'Neill said he pays around £4,000 in business rates and struggles to see where that money is going.

"The town centre is derelict at the moment," he said.

"Yes, there is a plan coming in to regenerate the town centre, as far as I know, and I think that's what we're holding on to - to see if it brings us any more business."

In a statement, Derry City and Strabane District Council said it "fully recognises the significant pressures facing local businesses" and provides support including direct grant funding.

The council said it "is responsible for setting the district portion of rates only" and, despite rising costs and funding cuts, "strives to keep rate increases as low as possible".

A spokesperson said that "approximately 61% of local businesses are entitled to exemptions and other rates reliefs", while the council is also "driving forward a multi-million pound transformative investment programme" across the area.

The Department of Finance has been asked for comment.