Pilot project suggested to tackle business closures in Donegal - Donegal News

IT has been suggested that Donegal could pilot a project to tackle business closures in rural towns and villages.

The issue was highlighted at the May plenary meeting of Donegal County Council by Independent Cllr Niamh Kennedy.

Drawing attention to the impact of retail closures on rural towns, she asked the council to contact the Department of Trade and Employment and the Department of Rural Affairs.

Cllr Kennedy suggested that Donegal could be at the helm of the pilot project.

“We would welcome any ideas and would be willing to participate in any schemes that could work,” she said.

She outlined the struggles that rural business owners are facing, and that shop-front vacancies in small towns and villages are a deterrent to tourism.

“The costs in keeping small businesses open is now overwhelming for many shops and small rural pubs.

“We need some practical incentivisation – a scheme – to keep the lights on and for people to trade locally. The wage increases, electricity costs have driven these people to the pin of their collar.

“Without these small retailers remaining open in our areas, we will have no offering for the community or the tourism trade in the future.

Cllr Kennedy said that the issue affects “every small town and village” and that business closures can result in a loss of pride and identity, as well as inward investment.

She argued that “consistent, coordinated action” rather than one-off grants is what’s needed to combat vacancies.

“Visitors do not travel for services, they travel for experiences,” she said.

“They look for authentic local offerings, unique shop fronts and local produce.”

Cllr Kennedy warned that “when retail disappears, so does our sense of place”.

“We’re not about managing a decline, we are about shaping growth,” she said.

“Our regeneration teams and our town teams, with community development, need to be at the table to ensure all the cogs are turning.”

She suggested a dedicated manager in each municipal district to develop strategies and stressed the need for cross-party and cross-directorate involvement.

“The establishment of a micro-grant system for startups, small fast-access grants for shop fitouts for signage, the launch of a vacancy activation programme, offer temporary rent subsidies or tax breaks to landlords who will fill empty spaces with pop up shops with artists and seasonal retail.

“Maybe to implement a cluster strategy to group complementary businesses together, food and retail experiences under the one roof and all within walking distances from town centres.

The motion was seconded by Fianna Fáil Cllr Martin McDermott, who said that every councillor could relate the issue to their own area.

Director of Human Resources, Economic Development and Emergency Services, Mr Garry Martin agreed that small businesses are facing “huge challenges”.

He highlighted the supports offered by the Local Enterprise Office and the Donegal Tourism board.

Mr Martin added that the Buy Donegal campaign, which was launched as a response to the COVID-19 pandemic, has continued on due to its success.

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