FF/GREENS VOTE DOWN LABOUR BILL CALLING FOR DOWNWARD REVIEW OF COMMERCIAL RENTS
Issued : Tuesday 16 March, 2010
The decision of Fianna Fail and the Green Party to vote down a Labour Party Private Members Bill in the Dáil last week that would have allowed for the downward review of commercial rents was a deplorable and short-sighted decision that will lead to further loss of jobs.
“Looking around the town at the moment I see that shops and small businesses are under intense pressure because of the crippling levels of commercial rents they are being asked to pay”, said Cllr. Ronan McManus. “These are rents that were negotiated at the height of the economic boom and are simply no longer sustainable or realistic, given the downturn in the economy and reduced consumer spending. It is very difficult for retailers at the moment and we don’t want to see more shops closed down in our town.
“Last year the Government introduced an amendment to the Land and Conveyancing Law Reform Act, 2009, allowing for a downward review of rents, but applied this only to new leases negotiated on or after March 1st this year. This is of absolutely no assistance to those firms that are already on the brink because of leases negotiated some years ago.
“The Labour Party Bill would have changed the law to allow the review to apply to existing leases, subject to some conditions. Our proposal would have offered a lifeline to struggling businesses, help to keep many of them above water and preserve badly needed jobs at a time of real economic crisis.
“The decision of the government means that the closure of more retail outlets is almost inevitable, with the consequent loss of yet more jobs. I was very surprised to see in the Dáil report that the Minister for European Affairs, Dick Roche, voted against Labour’s Bill to have a downward review of commercial rents. Yet at a recent conference organised by the Bray Chamber and Bray Town Council I recall both the Minister and the Taoiseach sympathising with the business community and saying how much this sector needed support.
“It seems that the Government is content to see shops and small businesses sink, while commercial landlords are allowed to swim”, concluded Cllr. McManus.
ENDS.
Contact: Cllr. Ronan McManus, 087 6949232
Cllr 
