Local property tax revenue
Lucinda Creighton asks the Government to honour its commitment to return most property-tax revenue to the local authorities where it was collected, amid concerns about their financial management. The Taoiseach says the Local Government Bill is before the Dáil.
In the context of the Local Government Bill, when the property tax was introduced, we were promised that in 2014 some 80% of the revenue generated would be ring-fenced for use in the local authority areas in which it was collected. I understand the position has changed and that this will not now happen until 2015. Given the level of dysfunction in a huge number of local authorities in the context of budget overruns, outstanding bank debts etc. it is important that the Government honours the commitment to the effect that incentives for local authorities to perform properly and spend responsibly would be provided. That could be done very simply by means of an amendment to the Local Government Bill which is before the House. It would enshrine in law the commitment provided orally by the Minister for the Environment, Community and Local Government.
Comment on this
It was only a Government promise. It does not matter.