Belfast City Council approved a 5.99% district rate increase, leading to heated debates over national insurance funding and party disagreements.
The meeting occurred on February 3rd. Representatives agreed on the rate hike, which affects 2025/26. The rate could change before February 15th, depending on funds from the NI Executive, covering national insurance increases.
The Alliance Party suggested this change option. The SDLP wanted to delay the vote, hoping for extra funds. This led to disputes with Alliance, and the argument shifted to meeting attendance, with group leaders from both parties trading blames.
Terraced homes will see a £0.40 weekly increase. A three-bed sees a £0.62 rise, while four-bed homes face a £1.37 increase. Apartments will pay about £0.39 more a week, whereas offices face a £10.39 weekly increase and retail properties will pay £8.51 more each week.
The council expects to raise a lot of money. The district rate will generate £212,984,985 from Belfast residents and businesses for the year 2025/26.
SDLP Councillor Carl Whyte spoke at the meeting. He mentioned prior rate increases and pointed to a national insurance contribution increase, which the Labour government introduced with a start date in April 2025.
This tax will cost Belfast City Council £3 million. Whyte asked about government plans and cited a response from Angela Rayner, mentioning a finance settlement soon. Whyte questioned the dispersal of funds to councils.
Whyte noted Belfast Council’s reserves hold £13 million and that rates have risen nearly 20% since 2023. He said this is significant for families and proposed delaying the rate decision, wanting clarity from ministers.
The council needs to know ministers funds for all councils involved with this, Whyte wants assurance ratepayers won’t pay twice, meaning payment for the insurance increase. The council might receive funds for this already.
Council Chief Executive John Walsh wrote to the Executive. He received a reply from the Finance Minister the same day, who said he cannot provide extra funding.
Whyte said the rate increase could drop to 4.5%, excluding the insurance tax. The overall increase would be below 20% for the last three years.
Alliance Councillor Michael Long commented that the SDLP objects every year. He accused them of claiming credit and says they sometimes skip votes. Long called the SDLP proposal a “silly ploy,” and said the council seeks the best outcome.
Long proposed striking the rate but allowing adjustments, which can happen before the deadline. The SDLP proposal failed with ten votes for and 49 against.
The Alliance proposal succeeded with 51 votes for and eight against. Sinn Féin, DUP, and others supported it, while the SDLP and People Before Profit opposed.
PBP Councillor Michael Collins spoke after, saying rate hikes aren’t the only option. Austerity is a choice, he said, and Executive parties don’t challenge it.
He suggested progressive taxation, stating that a wealth tax would aid public services. He criticized costs on regular people and cited subsidies for big business, also mentioning wasted council funds.
Privatization and consultancy fees are the target, and he targeted commercial rates subsidies. These funds could keep rates down, he noted.
