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Fear of 'significant' rates hike from Westminster

Secretary of State James Brokenshire has said Westminster will set the regional rate for Northern Ireland if an agreement cannot be reached at Stormont
Secretary of State James Brokenshire has said Westminster will set the regional rate for Northern Ireland if an agreement cannot be reached at Stormont Secretary of State James Brokenshire has said Westminster will set the regional rate for Northern Ireland if an agreement cannot be reached at Stormont

There are fears of a "significant hike" in household rate bills should a regional rate be imposed by Westminster.

Secretary of State James Brokenshire said yesterday that if there is no political deal between the parties at Stormont by April 18, he will bring forward legislation in parliament to enable a regional rate to be set.

The last time the regional rate for Northern Ireland was struck in Westminster for the draft budget of 2006-2008 then Secretary of State Peter Hain announced a 19 per cent increase.

UUP finance spokesperson Steve Aiken warned that the impact of Sinn Féin and the DUP's inability to agree a budget could soon be felt by the ratepayer.

"Whilst I note the Secretary of State has said he is minded to bring forward legislation to set a regional rate, which would at least provide the finances to enable local councils to carry out their functions, we should be in no doubt that this will represent a significant hike in local household rates," he said.

"Sinn Féin and the DUP had the opportunity to prepare a budget last December yet they refused. The reality of what happens when parties are elected who neither know or care how to properly administer public finances is unfortunately once again about to become clear."

Green Party leader Stephen Agnew said anyone who supports devolution should be "appalled" at the thought of the Westminster government setting rates for Northern Ireland.

“The intervention by the Secretary of State should focus the minds of all political parties on the need to get devolution up and running, as the setting of rates could be the first in a long line of unpopular Tory decisions enforced on the people of Northern Ireland.”

Land and Property Services confirmed yesterday that rate bills for the financial year 2017/2018 will be late due to a delay in the setting of the regional rate. The district rate has already been set by local councils.

Under normal circumstances LPS would send out rate bills at the end of this week, but instead officials will send out a letter to each of the roughly 560,000 households in the north with advice and further information for ratepayers.

LPS is putting plans in place to allow bills to issue in May, giving ratepayers the choice of making payment by the usual 10 instalments and avail of early payment discount as appropriate.

For those that pay by direct debit there is no change and payments will not be taken until a new bill is issued, but for those that use standing orders, cheque or online services they have been advised to make a payment based on last year's assessment and the amount will then be taken off the balance due.