“I remain in listening mode, I will now consider the next steps.”
A controversial rates revaluation process that could have seen pubs and hotels see a dramatic rise in their rates bills has been halted.
On Thursday afternoon, Finance Minister John O’Dowd announced that he has stopped the Reval 2026 process. It comes after calls to reverse the proposed revaluation of business rates, as MLAs heard “hospitality businesses are closing their doors due to rising costs”.
Minister O’Dowd said: “I want our local businesses to thrive; they are the backbone of our communities.
“I have listened carefully and I am very aware of the concerns raised by businesses—particularly hotels, pubs and other hospitality businesses.
“I remain in listening mode, I will now consider the next steps. My focus remains on supporting our public services, our local businesses and growing our economy.”
Last week, Mr O’Dowd announced Reval 2026, as Land and Property Services (LPS) released a draft list of revaluations for commercial properties.
Properties that had seen above average increases in their value faced an overall rating liability increase, resulting in a higher rates bill.
Hospitality Ulster, which had described the original proposals as “unacceptable”, welcomed the latest announcement by the minister.
Speaking after the announcement, Colin Neill, Chief Executive, Hospitality Ulster said: “Hospitality Ulster welcomes today’s announcement by the Finance Minister John O’Dowd that he intends to halt Reval 2026 and review the process that brought the hospitality to this crisis point.
“At a time when hurt and anxiety were at all-time highs in the sector, it is a relief that the Minister has listened to the people who are both a cornerstone of our economy and who provide an invaluable service to our society. This demonstrates the value of having locally elected politicians that can intervene.
“Hospitality’s opposition to Reval 2026 has never been based on an unwillingness to contribute our fair share to rates revenue, but about communicating that what was proposed was not fair and would have been the death knell for our industry. We now look forward to working with the Minister to come to a solution that allows the sector to pay its fair share and develop at the same time, allowing the sector to contribute positively to the growth of the Northern Ireland economy. Hospitality stands ready to play its part; we now await the Minister’s next steps and further clarity on what this means for our industry.”
Ulster Unionist economy spokesperson Diana Armstrong said it was a “climbdown” by Mr O’Dowd.
She said: “The minister must now explain why he failed to intervene at an earlier stage to recognise the devastating impact these punishing rate increases would have on core hospitality providers, including hotels, pubs, and food outlets.
“We also need clarity on whether the minister received a briefing from Land & Property Services in advance of their findings on the Reval 2026 exercise.
“If so, why did he not foresee how damaging this would be to the cornerstone of hospitality in Northern Ireland?”
She added: “I hold this minister wholly responsible for the widespread alarm he has caused across the industry.
“I now call on him not only to provide immediate intervention but also to assure the sector that, going forward, it will be treated as an integral part of economic growth policy, fully supported to protect livelihoods, the tourism industry, and vital supply chains.”
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