North homeowners face 5-fold rates hike

Some Northern Ireland householders could face a five-fold increase in their rates bill, the Government announced today.

Some Northern Ireland householders could face a five-fold increase in their rates bill, the Government announced today.

Parts of Belfast, North Down and Castlereagh will see the largest average rises with 45 per cent of householders across Northern Ireland facing hikes following next April's changes to how the bill is calculated.

Officials point out that 55 per cent of homeowners will see a decrease or no change to their bill and there will be measures to help those on low incomes. Among the hardest hit will be those living in terraced homes which have risen dramatically in value since the last rates review was conducted 30 years ago.

Valuation and Lands Agency Chief Executive Nigel Woods said: "At individual level there are some exceptional percentage increases - five times the existing rate bill and above.

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"A significant number of such increases are for rural properties that have very low existing rateable value and bills, typically existing bills may be £100 going to £500." The increase is being attributed to homes in poor condition being modernised as well as the growth in demand for terraced homes.

Thirteen per cent of householders could face an increase of £50, 15 per cent could see a £150 rise while 13 per cent of properties will see an increase of up to £450.

Householders will learn next year's estimated bill later this week and Department of Finance and Personnel Minister David Hanson said the new system was fair and equitable.

"Capital valuation, which is based on the market value of a house - something everybody recognises - is modern, easy to understand, and spreads the rate burden in a fairer, more progressive manner," he said.

"In broad terms approximately 55 per cent of homeowners will see either no change, or a decrease in their share of the rates burden. The remaining 45 per cent will see an increase."

Belfast sees the highest increase with 14 per cent while Craigavon has the largest decrease at 10 per cent. The widest range of changes are expected to affect Belfast properties with the average new bill expected to be around £660, an £80 increase.

Those on low incomes, but just above the threshold for housing benefit, will be included in a new rate relief scheme to help those who may struggle to pay.

PA