Rates bills to go up by 2.79%

NEW leisure provision for Armagh and ongoing improvements works at Orchard Leisure Centre are all being budgeted for as the Council announced its rates bill for the year.

Armagh City, Banbridge and Craigavon Borough Council has agreed a 2.79% increase in the district rate for the incoming financial year (2026-27) – one of the lowest rate increases across Northern Ireland – following the approval of its annual budget.

The agreed rate, council said, represents a measured and responsible approach, balancing the need to protect essential services and invest in local communities, while recognising the ongoing financial pressures facing households and businesses.

For the average household in the borough with a capital value of £110,000 this represents an additional 31 pence per week (or £1.35 per month) and reflects the new budget set for 2026-27.

For a business in the borough with a NAV of £20,000 the increase is approximately £14.49 per month.

Like councils across Northern Ireland, council continues to face significant external cost pressures, including rising energy and utility costs, inflation across contracts and materials, increased demand for key services and continued pressure on public finances.

Despite these challenges, council has worked hard to limit the increase to the lowest possible level.

Protecting services and delivering value

The rate supports the continued delivery of vital frontline services that residents rely on every day, including waste and recycling, parks and open spaces, leisure facilities, environmental services and community programmes.

Investing in the future

The budget also provides for significant capital investment to improve infrastructure, support regeneration and future-proof services across the borough. This includes a £2 million Small Settlements Environmental Improvement Scheme for Rathfriland, Gilford and Markethill, alongside £2.5 million to enhance community facility provision in Lurgan.

Investment will continue in leisure and wellbeing, with new leisure provision planned for Armagh and ongoing works at Orchard Leisure Centre, as well as £2.1 million to deliver the council’s Play Strategy and a further £6 million investment in pitches, parks and open spaces.

Cultural and tourism assets are also being strengthened through a £3.2 million expansion of the FE McWilliam Gallery and the Armagh Gaol Transformation Project as part of the Mid South West Growth Deal.

A £3.5 million investment in fleet, plant and equipment will modernise council assets, improve operational efficiency and support the transition to more sustainable and lower-emission service delivery. In addition, a £1 million Financial Assistance Programme continues to support local community organisations across our borough. Together, these investments are designed to deliver long-term benefits, support economic growth and reduce future operating costs.

Supporting local businesses and the local economy

Council recognises the pressures facing local businesses and has taken a balanced approach by keeping the rate increase as low as possible while continuing to invest in measures that support town centres, local enterprise and economic activity. This includes support initiatives such as the Empty to Occupied scheme, alongside programmes designed to increase footfall, including a year-round programme of events across town centres, free parking initiatives and the Shop ABC Gift Card scheme, which encourages residents and visitors to spend locally.

Council also continues to invest in business support programmes and in enhanced street cleansing services, including dedicated clean teams operating in town centres and rural villages, helping to maintain attractive, welcoming places to live, work and trade.

Lord Mayor of Armagh City, Banbridge and Craigavon, Alderman Stephen Moutray said:

“Setting the district rate is one of the most important decisions we make as a council each year. I am pleased that we have agreed a 2.79% increase – one of the lowest across Northern Ireland that continues to protect essential services and invest in our communities.

“This budget reflects careful decision-making, a strong focus on value for money and a clear commitment to supporting residents during challenging times.”

Every area of council expenditure has been subject to rigorous scrutiny, with efficiencies identified across departments to minimise the impact on ratepayers. This approach ensures value for money while maintaining service standards.

Deputy Lord Mayor of Armagh City, Banbridge and Craigavon, Councillor Jessica Johnston added:

“We know that any increase is difficult, particularly with ongoing cost-of-living pressures. Council has worked hard to strike the right balance, keeping the increase as low as possible while ensuring we can continue to deliver quality services and invest in the future.

“This is a responsible and sustainable budget that supports local people, local businesses and long-term growth.”

Council remains committed to keeping rates affordable, delivering high-quality services and investing responsibly to support the long-term wellbeing and growth of our borough.

Rates bills are made up of two parts – the local district rate which pays for council services and the regional rate which pays for services provided by central government.

The Executive has agreed the Regional Rate for domestic and non-domestic properties for 2026/27.

It has taken the same approach as 2025/26 with an increase of 5.0% for domestic properties and an increase of 3.0% for non-domestic properties. The proposal on the domestic regional rate element of the bill of an uplift of 5% would add 63p per week to the average household bill.

Finance Minister John O’Dowd said: “Rates currently raise over £1.6billion annually providing vital funding for our hospitals, childcare, schools, and other essential council services that support our communities. The regional rate agreed today will raise just over £900million for the Executive for the 2026/27 year.

“With many households still feeling the pressure of rising living costs, and businesses facing increased costs, the Executive has aimed to strike a balance between raising the revenue required to support essential public services and protecting workers, families and businesses from unnecessary financial strain.”

The Minister continued: “The Executive’s decision to keep the domestic uplift at the same level as last year is a recognition of the cost of living pressures felt by households. Keeping the non-domestic rate below the current rate of inflation reflects the pressures facing local businesses and their vital role in supporting jobs in our local communities and driving local growth.

“Domestic ratepayers have access to a targeted, means‑tested package of help that serves to provide support for low-income households. 75% of non‑domestic properties benefit from rate relief, offering around a quarter of a billion pounds in much‑needed support.”

The Minister concluded: “These uplifts, to be debated in the Assembly in March, would generate an additional £47million of funding power during 2026/27, compared to Budget 2025-26, for our vital public services that our citizens and businesses rely on.”