Michael Fitzmaurice (Roscommon-South Leitrim, Independent) | Oireachtas source

There are some good things in the Bill and some things we would like to improve. I accept a strategy is currently being developed for rural areas. We welcome anything that will put a bit of life into rural towns and villages.

Shops and businesses are closing down in rural Ireland and high rates are the main problem, with businesses are being stifled as a result. Every business that closes down means less money, and the maths do not add up. I understand that rates must be collected and paid and I am not naive enough to think we could get rid of them, lock, stock and barrel. I suggest that the rate should be based on the worst year of the previous three or four years and businesses should be given some breathing space because for every business that closes there is less money being raised by rates. The equalisation fund could be used as a stimulus package. There should be an effort to encourage more businesses in towns by basing the rates on the worst year. The smaller towns should be given some breathing space. I remember that a package of measures was introduced a few years ago which allowed up to five years remission from payment of rates or a staggered payment arrangement such as 20% in the first year and an increase in the rate over five years.

I recommend the Minister of State to consider measures for the hospitality sector. For example, if a new business or hotel had no competitor within 10 km, the business would be given a break of five years from payment of rates. This would likely apply in smaller towns in Roscommon such as Ballinlough or Strokestown. I see all these towns that are dying on their knees. We need to begin to think outside the box in trying to revive these smaller towns throughout the country.

This legislation will cripple the amount of money being raised. For example, throughout the country there are probably 110 or 115 quarries which have paid large sums in rates. They have been trying to survive and they have been willing to pay the rates. As a result of crazy types of paperwork, the minute they become compliant, they are told that they are not compliant and they are supposed to shut down. The do-gooders of this country are honing in and trying to tell county councils to write letters to all these quarries. If this happens, it will have a severe impact on Government spending on roads, on employment and on the level of rates collected. We need to get real about where we are going.

In respect of the construction of new roads, not necessarily motorways, or where roads are upgraded, the smaller towns on those routes need to be protected by the provision of a slip road into the towns. A filling station or places to eat on the side of the road will take business away from the small towns. To ensure the survival of these smaller towns, it will be necessary to provide incentives. The Lidls and Tescos of this world have built out-of-town shopping centres with the result that town centres are being decimated. Councils should consider charging for parking at these supermarkets.

On what is happening in rural areas, I was speaking recently to an auctioneer in Strokestown. A fabrication company was willing to take over a building that has been closed since 2009. The company took it for €10,000 per year and two weeks later it got the word that the rates would be €18,000. That factory was closed the following day and eight jobs were gone. We persist in burying our heads in the sand. I do not blame the councils because they have to get in as much money as possible. However, we need to devise a national strategy to revive these towns.

The rates bills for hotels sold in Roscommon, Leitrim and east Galway have been up to €40,000. I suggest that if a business provides employment, it should be given some credit with regard to rates. Every person taken off the live register means €15,000 to €20,000 of government money saved. However, if we intend to keep crippling businesses then those people will not be in employment. We must provide the incentives. I ask the Minister of State to consider some of those points.

See this speech in context