Phil Hogan (Carlow-Kilkenny, Fine Gael) | Oireachtas source

As Deputy Deasy is aware, as Opposition spokesperson on the environment in 2009 – sometimes queried by members of my own party – I initiated a process to persuade local councillors to freeze or reduce commercial rates. That is the rationale behind the local government reform initiative. At a time when small businesses and commercial ratepayers generally are carrying the can, in particular in rural constituencies, in terms of providing the necessary funding for the provision of services, it is not acceptable in the context of the difficulties SMEs are going through and given the Government’s policy to promote employment opportunities through SMEs, that we would implement a policy that would place an additional rates burden on businesses. That is not what is intended by local government reform.

Even though variations exist in the annual rates on valuation within counties – Dungarvan and Waterford are a case in point – what is intended in the merger of the two authorities in Waterford as part of the new municipal district concept is that there would be harmonisation of rates to the lower level within each county. That is the pro-employment, pro-efficiency agenda I wish to pursue with local government reform. Already we are in the process of saving €500 million. That money is now available within the local government system due to shared services, better procurement and a reduction of 8,000 employed in the local government sector. The savings must be passed on to consumers and businesses alike to ensure they are competitive and that they are assisted in these difficult times, when the disposable income of individuals is not as great as it should be, to provide the necessary footfall for businesses on high streets and main streets and also to provide disposable income for purchases that are necessary for those SMEs. I agree with Deputy Deasy’s sentiments. I also agree with what he said about Dungarvan specifically. I will work to achieve that objective.

See this speech in context