Regional rate set to rise by 6% in Northern Ireland

Rates bills for households across Northern Ireland will rise from April after the secretary of state announced a 6% rise in the regional rate.

Bills are calculated on property value using what is known as the district rate, set by councils, and the regional rate.

The regional rate is usually set by the Northern Ireland Assembly.

But in the absence of a sitting assembly, it has been decided by the Northern Ireland Office.

Northern Ireland Secretary Chris Heaton-Harris has increased the domestic regional rate by 6% and frozen the non-domestic regional rate for the 2023-24 financial year.

That is lower than inflation (10%), and is lower than the average increase (6.67%) of domestic district rate increases by councils in Northern Ireland.

All 15 councils have announced their highest increases since 2015, ranging from 4.9% in Antrim and Newtownabbey, to 7.99% in Belfast.

The money generated by rates in Northern Ireland pays for public services and projects.

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Mr Heaton-Harris said: "I am very aware that this comes amidst cost-of-living pressures for both Northern Ireland businesses and households, and I have set the rates to improve the sustainability of the Northern Ireland public finances whilst protecting those most in need.

"Whilst I will not shirk my responsibility to do the right thing for Northern Ireland's finances, it remains the case these decisions should be taken by locally elected politicians in a fully-functioning Northern Ireland Executive," he added.

Rising household rates bills will not be welcomed in a cost-of-living crisis, but public services and local government are also struggling with inflationary pressures.

Business rates frozen

Meanwhile, the regional rate for businesses is being frozen.

Hospitality Ulster welcomed the news that there will be one less pressure facing businesses.

The group's chief executive, Colin Neil, said: "This is welcome news at a time when cost pressures are hurting the wider business community and the hospitality sector in particular."

"We have fought hard and made representations to the secretary of state to do more for business and for our industry and we are glad to see that he has heeded the warning signs and made this decision to freeze the non-domestic regional rate for the next financial year."