430. Deputy Mark Wall asked the Minister for Housing, Local Government and Heritage if a local authority can reduce, defer or suspend a rate demand for a business within their administrative area who are taking over a former derelict building; and if he will make a statement on the matter. [47119/26]

Local authorities are under a statutory obligation to levy rates on any property used for commercial purposes in accordance with the details entered in the valuation lists prepared by Tailte Éireann under the Valuation Act 2001, as amended and I, as Minister, have no function in this regard.

The Valuation Act provides that all buildings used or developed for any purpose, which are occupied and the nature of that occupation is such to constitute rateable occupation or are unoccupied but capable of being the subject of rateable occupation, are rateable under Schedule 3 unless expressly exempted under Schedule 4 of the Act.

The amount of rates liable on a property is determined by multiplying the valuation of the property set by Tailte Éireann by the Annual Rate on Valuation (ARV) set by the local authority.  The ARV is decided by the elected members of each local authority in their annual budget and its determination is a reserved function of a local authority.

There are a number of statutory provisions that allow for local abatement of rates.  Local authorities may decide to offer assistance or money in kind, as provided for under section 66 of the Local Government Act 2001, in order to promote the interests of the local community, which includes, inter alia, the economic or general development of the administrative area (or part of it) of the local authority concerned.  This may include vacant business premises rates incentive schemes or town centre activation schemes designed to encourage reoccupation of vacant retail/commercial premises.

Section 15 of the Local Government Rates and Other Matters Act 2019 provides for rates waiver schemes. It adds to the suite of options available to local authorities to support local businesses and ratepayers.  These rates waiver schemes are subject to a public consultation process and are approved by the elected members at either a plenary meeting of the Council or the annual budget meeting.  Elected members are empowered to make schemes to support local and national policy objectives, by waiving the paying of commercial rates in certain circumstances.  It is open for a local authority to design a waiver scheme as long as it supports county development plans, local area plans, local economic and community plans and the national planning framework.  The budgetary impact of any waiver decision will also have to be managed by the elected members when making budget decisions for the following year; any reduction in income coming from rates will need to be factored into the overall budget planning.