Galway city businesses could get three years' rates relief

Businesses moving into vacant shops could receive up to three years of rates relief under a Galway City Council proposal estimated to cost €1.05 million in its first year.

Published 3rd Jul 2026, 12:46 BST Connacht Tribune Businesses moving into vacant shops could receive up to three years of rates relief under a Galway City Council proposal estimated to cost €1.05 million in its first year. Sign up to our Connacht Tribune Today daily newsletter Sign up Thank you for signing up! Did you know you can manage your profile, and explore all of the available newsletters from Connacht Tribune within your account.

Galway City Council is considering a commercial rates waiver scheme that would give businesses moving into premises vacant for more than a year a 100% rates waiver in year one, falling to 50% in year two and 25% in year three.

“This is something Galway City Council needs to do,” says Cllr Níall McNeilis (Lab), who is also a business owner in the city.

“This is a good scheme. While this proposal has to come before the council, I would welcome it. I would also encourage the Local Enterprise Office (LEO) and Galway Chamber to back it with a suite of supports.”

The proposed scheme is designed to reduce commercial vacancy and attract new businesses into empty units across the city.

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Based on previous vacancy-related supports, the council estimates that rates waivers would total €1.05 million in the first year.

“We would have to find the €1 million for year one in the budget,” continues Cllr McNeilis. “Our commercial rates are lower than those in Limerick and Cork, but this is a major incentive. We would have to find money in the budget to make up for the shortfall in commercial rates.

“We are thinking outside the box on this one. It shows they have been listening to the council and to the public. This is a good suggestion.”

The estimated cost would fall to €527,106 in the second year and €263,553 in the third year, with no waiver applying from year four onwards.

The scheme would apply to selected sectors, including bookshops, creative industries, education and training centres, restaurants, hotels, live music venues, co-working spaces and businesses involved in the circular economy.

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However, a number of business types would be excluded, including betting shops, casinos, vape shops, convenience stores, takeaways, nail bars, phone repair shops and amusement arcades.

“We have identified what we don't want going into these units for this particular scheme,” says Cllr McNeilis.

“We have enough phone shops, vape shops and sweet shops. We need to see more unique retail, such as boutiques.”

The scheme is intended to encourage businesses to occupy premises that have been vacant for more than 12 months while increasing the variety of shops in the city centre.

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“We are a tourist town and we do need a better mix of shops to attract Galwegians into the city,” says Cllr McNeilis.

“The biggest competition for retail is online shopping. There is an experience when you buy something in a shop rather than online.”

According to the report, commercial vacancy across County Galway stood at 18.7% in the fourth quarter of 2025, based on GeoDirectory data.

Council officials said it is not currently possible to calculate the full financial impact of vacancy because the commercial valuation of all vacant properties is not known.

Instead, estimates for the scheme were based on data from the local authority's previous vacancy abatement programme in 2024.

The rates waiver scheme has been prepared under regulations that allow local authorities to introduce rates relief measures to support economic, social and community development.

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