Robinson hits out at possible rates hike

DUP deputy leader Peter Robinson has hit out at plans by the Government to increase rates in the province to help cushion the impact of water charges on household bills.

In a letter leaked to Mr Robinson's party on Friday, the east Belfast MP said that Secretary of State for Northern Ireland Paul Murphy was planning an increase in household bills on top of a £300 per year water bill.

“We have drawn up proposals to make above trend increases in Regional Rates immediately before the introduction of water charging so that we can moderate the total increases in household bills (rates and water charges combined) during the following few years when we are introducing water charges," Mr Murphy is alleged to have said in the letter.

Hitting out at the plans, Mr Robinson said: "I am utterly appalled at the cynical game of playing with people’s pockets that Paul Murphy proposes in this letter to his Cabinet colleague the Chief Secretary of the Treasury Mr Paul Boateng.

"The Governments period of public consultation over water reform is quite clearly a façade. The government has made up its mind. Households in Northern Ireland are to be hit with an extra annual charge in excess of £300.

"As if water charges weren’t bad enough in themselves, other household bills will also experience massive hikes."

However, responding to today's revelations, Finance Minister Ian Pearson, who is in charge of rates collection and policy, denied there would be an increase in local rates.

"We are not in the business of raising rates for rates sake," he told the BBC today. "We are in the business of making sure that Northern Ireland has the extra investment that's required to modernise its infrastructure."

The proposals will be unveiled next month and the Minister said that people would have the opportunity to comment.

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