Rates rise 'may cost 30,000 jobs'

Group claims that 30,000 manufacturing jobs could be lost

Thirty thousand jobs in Northern Ireland could be lost if the government raises industrial rates bills above 25%, it has been claimed.

Political parties have called on the NI secretary to cap the rate.

A cross party delegation which includes the DUP and Sinn Fein, wants to meet Peter Hain to discuss the issue.

Northern Ireland Manufacturing Focus Group spokesman Basil McCrea said raising the rate above 25% could destroy the manufacturing sector.

The decision to phase out industrial derating was announced by the government in April 2003 and began in 2005.

Last year manufacturing industry had to pay 15% of the projected bill. This year it will be 25%.

"Companies may not close down immediately but all future investment plans will be directed away from Northern Ireland," Mr McCrea said.

"Over a relatively short period of time we will lose much of our manufacturing base.

"This disastrous state of affairs is not brought about by international competition but by the ill-considered actions of a government which has been misinformed."

Mr McCrea said the ending of industrial derating was not inevitable and could be reversed by the government.

"The rate can be set at a more reasonable level by either Westminster or the assembly," he said.

"We fervently hope that if the assembly is recalled, our local MLAs can rise to the challenge.

"Otherwise, its down to the direct rule administration to save Northern Ireland industry. Either way, without urgent action, time is running out for industry in Northern Ireland."