Northern Ireland finance minister John O’Dowd has announced a revalution of business properties has been stopped after warnings that subsequent business rates rises would lead to company closures.
A revaluation of non-domestic properties, known as NI Reval2026, was due to be used to calculate business rate bills from 1 April.
But several groups said it would have a negative impact on businesses due to rates increases.
Examples include hotel group Galgorm Collection’s rates bill rising from £585,000 to almost £1.5m and Ryan’s Bar in Belfast facing a £33,000 hike under the revaluation.
Earlier this week, the Northern Ireland Food To Go Association said it could lead to the closure of more than 100 small food businesses, including cafés, takeaways, food trucks and local producers, across Northern Ireland.
Announcing the decision to stop the revaluation, John 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.”
Reaction to the halting of Reval 2026
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.”
Michael Henderson, chief executive, Northern Ireland Food To Go Association:
“Following today’s constructive and successful meeting with the finance minister, We welcome the decision to pause the proposed business rates changes and I am encouraged that the concerns of the food-to-go sector are being taken seriously.
Food-to-go businesses play a vital role in local communities, providing employment and sustaining high streets, yet many continue to operate on tight margins while facing rising costs. This pause provides welcome breathing space, but it is essential that any future revaluation is fair, proportionate and reflects real trading conditions.
Our members remain concerned that significant increases in rates could place viable businesses at risk. I am therefore calling for continued meaningful engagement with government, greater transparency in the valuation process, and targeted support for small independent operators.
The NI Food To Go Association looks forward to working collaboratively with the minister and officials to achieve a sustainable and balanced outcome for our industry.”
Clare Guinness, CEO, Belfast Chamber, said:
“Belfast Chamber strongly welcomes the finance minister’s decision to pause the proposed rates revaluation – it’s encouraging to see common sense prevail on an issue that had the potential to have a hugely detrimental impact on the hospitality sector.
“The finance minister was a guest speaker at a business lunch hosted by Belfast Chamber for members last week, when he was very much in listening mode, and this decision is proof of that. It’s refreshing to note that our political leaders place value in listening to businesses and to representative bodies that advocate on their behalf.
“Hospitality and leisure accounts for almost a third of our membership and is a vital part of Northern Ireland’s economy, supporting jobs, tourism, and city centre vibrancy. At a time when operators continue to face significant cost pressures, it is essential that policy decisions enable the sector to thrive.
“We look forward to working collaboratively with the minister and all stakeholders to develop a fair and balanced approach that supports recovery, growth, and the long-term success of hospitality businesses.”