By Julie Waters
A LEADING Bangor business leader has called for the blanket rates exemption granted to charities and churches to be reviewed.
Frank Shivers, president of Bangor Chamber of Commerce, praised the ‘vital’ support services provided by charities and churches to help ‘those who might otherwise be left behind’.
However, he stressed the ‘immense pressure’ faced by local independent businesses from rising rents, staffing costs and rates bills, all whilst competing against organisations that are exempt.
Mr Shivers said that many charities and churches now deliver the same services as neighbouring businesses such as childcare services, cafes and coffee provision, food outlets, as well as retail shops and event spaces.
Emphasising that ‘fairness matters’, Mr Shivers stated that it was now ‘reasonable to ask’ churches and charities to ‘contribute to the upkeep of the town centres they occupy’.
Rates are the property taxes paid by households and businesses. However charitable exemption can be granted for properties used for ‘the advancement of religion’, ‘the relief of poverty’ as well as ‘other purposes beneficial to the community’.
Voicing his concerns about the current system, Mr Shivers said: “Charities and churches play an important role in our communities. Many provide vital support services, bring people together, and help those who might otherwise be left behind. Their contribution to social wellbeing should be recognised and respected.
“However, it may now be time to have an honest conversation about whether these organisations should continue to be exempt from making rates contributions when operating on our town centre high streets.
“In many cases, charities and churches now deliver the same services and products as their neighbouring businesses. Childcare services, cafés and coffee provision, food outlets, retail shops and event spaces are increasingly common parts of their operations. While their motivations may differ, the commercial reality is often very similar.”
Mr Shivers said: “Local independent businesses are already under immense pressure from rising rents, staffing costs and rates. They help fund the very town centres that charities and churches benefit from, yet they are required to shoulder the full financial burden while competing with organisations that are exempt.
“This is not an argument against the presence of charities or churches on our high streets. They can add vibrancy, footfall and social value. But fairness matters.
“When organisations operate in a commercial space and compete directly with ratepaying businesses, it is reasonable to ask whether they should also contribute to the upkeep of the town centres they occupy.”
Mr Shivers said: “Perhaps the question is no longer whether charities and churches do good work — many clearly do — but whether a blanket exemption remains appropriate in today’s town centre economy.
“A thoughtful, balanced review of rates contributions could help create a fairer playing field for everyone working to keep our high streetsalive.”
A spokesman for the British Heart Foundation, which has a shop in Bangor said their shops are a ‘central part’ of how the charity funds vital research.
“Over 230,000 people in Northern Ireland and around 23,000 people in the Ards and North Down area are currently living with cardiovascular disease,” said the spokesman.
“With the latest figures revealing there are over 4,000 deaths from cardiovascular disease in Northern Ireland each year – that’s nearly a quarter of all deaths (24 per cent) and an average of 12 people a day – it’s more important than ever for us to fund research into the treatments and cures of heart disease, save lives and help people to live well for longer.
“Our stores on the high streets are a central part of how we fund BHF’s lifesaving research. BHF is committed to investing around £100m of new research awards each year and is the biggest independent funder of cardiovascular research in Northern Ireland.”
