Dáil debates

Thursday, 9 July 2009

Local Government (Charges) Bill 2009 [Seanad]: Second Stage

 

12:00 pm

Photo of Jimmy DeenihanJimmy Deenihan (Kerry North, Fine Gael)

I welcome the principle of the Bill as Deputy Hogan has done. It has major implications for a county such as Kerry which has a very substantial dependency on tourism. According to the 2006 census there is a possibility of earning up to €4 million in the county through the charge on tourist accommodation. In the overview presented by the Oireachtas Library and Research Service, it was suggested that because of the amount of rental accommodation Dublin City Council could earn up to €14 million. Vast revenue earning opportunities exist for local authorities. Local authorities set rates and water charges. Although it is not contained in the Bill, would it be possible for local authorities to set their own charges on property? That may be a matter for the future but it is at least a possibility that local authorities could set their own charges depending on the conditions and the demands of a certain area.

I acknowledge the Minister has accepted some amendments. However I make a special case for the self-catering tourism sector, a very important part of tourism in counties such as Kerry with which I am familiar. I refer to a particular case, that of a person I visited last week. The man in question is concerned about this Bill and the imposition of the €200 tax. He pointed out that he already pays high registration fees to Fáilte Ireland, VAT on rental moneys received and his water is metered by the local council. He is required to have a BER, building energy rating, certificate. He advertises in self-catering magazines, marketing brochures and through web and printed media. He employs contract cleaners and facilities for visiting tourists which I saw including playgrounds, saunas and an indoor hot tub. The proposed charge will be another imposition.

Deputy Hogan has tabled an amendment which would exempt self-catering accommodation from this charge and I urge the Minister to consider it. The Fáilte Ireland survey of 2008 indicated that tourists in the self-catering sector add approximately €1 billion to local economies throughout the country. There are self-catering units throughout the country, including the midlands, and they are a very important vehicle for rural development. They provide very good value and bring tourists to areas they would not normally visit. My concern is the imposition of this charge together with the imposition of all other charges may encourage some of those involved to leave the business entirely. I realise it is only €200 but it may be the straw that breaks the camel's back. It might create a very negative reaction by some of those involved. The number of Fáilte Ireland registered and approved self-catering homes has been in sharp decline in the past two years. The exemption need not apply to every self-catering enterprise, only those which are registered. I wish to focus on this issue and I hope the Minister of State is listening to me. Such a measure would have two effects. It would encourage people to register and, as a result, there would be a higher quality product.

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