Businesses in Abergavenny could be forced to lay off staff and close down after being hit with huge rate increases.

A proposed rise in business rates set by Welsh Government has left many local business with huge increases which they say could force them to cut staff and raise prices.

Andrew Powell, owner of the Grofield Inn, Abergavenny, said his yearly business rates spiked by 300 percent — £220 extra per week — and could force him to cut numbers.

“Well, we’ve been hit quite badly. Our rates will be going up by 300 percent. That’s from £7,000 to £22,000 per year. We’ll have to find another £11,000 for this year alone,” said Mr Powell.

“To allow this is ridiculous, quite frankly. You know, if we have two rainy summers, our takings can go down by 40 percent.

“We’ll just have to pay it, if nothing is done. Allowing this to happen — an increase of 300 percent — isn’t right. You can’t expect businesses to just find the money and still be happy about it.

“I’m not thinking about it now, as we are busy ready for Christmas, but when that weak January and February hits, this’ll hit home,” he added.

The publican said the proposed rise — which will kick in next April — could scupper his plans to refurbish the Baker Street pub.

“We’ve been here ten years, and have been planning a refurbishment. If the rates do go up this much, that’ll be in jeopardy. It really doesn’t fill you with confidence to try and build your business.??“We employ seven full-time staff and three part-time. We are good to them, making sure they have set hours et cetera. If these rates come in, we’ll do all we can to work around it,” he said.

Other local business owners requested not to be named, but said their rates were increasing sharply — one by almost 500 percent.

County councillors have been quick to voice their concerns, saying that the rise is ‘unacceptable’ and would ‘seriously damage businesses’ in Monmouthshire, a sentiment echoed by local MP David Davies.

“Monmouthshire is facing a huge hike in business rates. Around 65 per cent of businesses are set to be, with some reporting a staggering increase of over 200 per cent.

“Pubs, shops, Post Office branches, and village halls have taken a particularly hard hit; facilities that are vitally important to the rural economy in Monmouthshire. Unless something is done, cherished family-owned businesses could be forced to close.

“I have joined with Monmouthshire County Council to urgently call for a postponement of the new tariffs while a detailed study of the impact on businesses is carried out,” said Mr Davies.

The Conservative MP urged business owners to lobby the government in opposition to the climbing rates by writing to Mark Drakeford AM.

Opposition to the increases pushed Monmouth AM Nick Ramsay to set up a meeting for business and government parties to discuss the issue on December 5.

“These dramatic business rate rises are completely unacceptable and will simply force a number of our loved high street shops to close their doors for good,” said Mr Ramsay.

“I’ve organised this meeting with Usk Town Council so we can discuss the issue, challenge the Welsh Government on their decision and make our voices heard.

“I would urge people from across Monmouthshire to come along and support our local businesses,” he said.

Councillor Douglas Edwards said the rises would hit Abergavenny hard, as small businesses would struggle to absorb the steep hikes.

“It’s disgraceful. It doesn’t make sense. Cardiff has had so much investment in recent years. Millions and millions, okay, it is the capital city but it seems to be well and truly favoured. Small market towns like Abergavenny have taken a hell of a hammering — some have had 500 precent increases, a lot more with 100 percent rises,” he said.

Councillor Edwards added that the issue had renewed interest in a Chamber of Trade for Abergavenny set up to defend the interests of local businesses.

Support and suggestions for this notion can be expressed in email to Councillor Edwards at [email protected]

Readers who wish to comment on the business rates increase can forward their suggestions to [email protected]