Former Galway Mayor Cubbard will not support proposal for 15% commercial rates hike

“They may look for it – they look for it every year. Let's be honest from the very start.”

His comments come as councillors continue to grapple with the fallout from changes made to the 2026 budget, including cuts to economic development spending which council management warned could put local business supports at risk.

A €264,000 reduction in the economic strategy budget was among the changes made by councillors when they adopted Budget 2026 last November.

A subsequent report to Galway City Council's Corporate Policy Group (CPG) set out the implications of the cut and warned that support for local business initiatives could be removed.

Council management said sponsorships such as the Galway Chamber Business Awards could also go. However, the CPG agreed that the position should instead be reviewed with Galway Chamber and Galway County Council.

Cllr Cubbard said council management has already been engaging with the business community and Galway Chamber.

“Those conversations have been had,” he said.

He said the wider report highlighted the difficult decisions arising from changes made during the budget process.

“There are always amendments and changes,” he said.

“It shows the process in place and how the Executive works within the remit given to them. We work on solutions to the changes made in the draft budget and are already looking at Budget 2027.”

The report shows that funding for economic development under the Local Economic and Community Plan (LECP) will fall from €120,000 to just €32,000 in 2026.

It warned that this would severely limit the council's ability to deliver economic initiatives already agreed for 2026 and 2027.

Support for organisations and programmes including CREW, PorterShed and SCCUL could be affected, along with the Galway Chamber Business Awards.

Planned support for the Galway Science and Technology Festival, EDGE26 Summit and social enterprise training could also be lost.

“Removal of funding for the economic strategy critically weakens both Galway's capacity to plan for future economic growth in a strategic way and attract investment and erodes its position as a regional leader,” the report stated.

The report also raised concerns over the One Galway Economic Strategy being developed jointly by Galway City and County Councils.

The Corporate Policy Groups of both councils had already committed to jointly fund the strategy, with the report warning that the cut created difficulties in honouring that commitment.

However, the joint strategy is continuing to progress. Galway City and County Councils launched a public consultation on the Economic Development Strategy in April, with the strategy expected to be launched later this year.

It is intended to guide economic growth across the city and county over the coming years, covering areas including job creation, enterprise, infrastructure, connectivity and investment.

The council report also warned that the reduction in economic development funding could leave Galway at risk of losing out on EU funding opportunities where match funding is required.

It said the council's ability to promote Galway nationally and internationally as a destination for business and investment could also be reduced.

With €32,000 available, the report proposed concentrating the remaining money on a small number of local projects.

This would include €17,000 towards expanding the Local Food and Craft Gift Fair and €15,000 for initiatives covering social enterprise awareness, green transition, digital creative industries, entrepreneurship and STEM activities.

Funded by the Local Democracy Reporting Scheme.