Dáil debates

Tuesday, 5 March 2013

Finance (Local Property Tax) (Amendment) Bill 2013: Committee Stage (Resumed) and Remaining Stages

 

9:40 pm

Photo of Tom FlemingTom Fleming (Kerry South, Independent) | Oireachtas source

The radon problem in County Kerry has had very serious consequences in the last ten years, in particular. It has claimed a number of lives, for instance, and is seriously affecting the general health of people who are unfortunate to be living in areas affected by the gas. Time will tell regarding the overall implications for the general public who have to live in houses affected by radon. It is a modern phenomenon because of the high standard of housing and of insulation in particular. Given the huge cost of energy and of oil in particular, people have a very high level of insulation in their homes but the side effect of this is that the radon is trapped in the houses. People are very unfortunate to be in this situation. Perhaps their houses are not worthless, as the Minister has said, but they are hugely devalued, which is the kernel of the problem. Some mechanism will have to be worked out to make allowances for a large proportion of the population of County Kerry. Remediation measures can be carried out but they are not 100% effective and are very costly as they rely on electricity to power fans to extract the air.

There is a very serious disincentive in the Bill to carry out remediation works or general improvements in so far as they could raise the value of the house, which obviously has implications for the householder.

For example, this may happen if people need to build extensions to family homes. This tax will be a significant deterrent. The construction industry is currently on its knees and we should not be putting any impediments in the way of people trying to create activity in building. We need to examine the matter carefully, as every job, no matter how small, can be priceless because of the high unemployment rate in the country. This tax will be a serious deterrent.

I even have reservations about the high valuation and tax rate on mansions. Mr. Michael Flatley came to Castle Hyde in Fermoy, and he deserves to be applauded for what has been done there. He is a major asset to the area and has boosted the economy by engaging builders and other workers. We should encourage such activity. If we are to get in foreign direct investment, we cannot put obstacles in their way. Many of these people demand larger houses because parent company employees, such as directors or managers, may visit and they need to be entertained. It is a ridiculous measure.

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