Dáil debates

Tuesday, 13 July 2021

Finance (Local Property Tax) (Amendment) Bill 2021: Second Stage

 

8:25 pm

Photo of Johnny GuirkeJohnny Guirke (Meath West, Sinn Fein) | Oireachtas source

The local property tax, or the tax on the roof over people's heads, was introduced eight years ago in 2013. Even people who own their home feel like they are still paying a mortgage, albeit at a lower level, and feel they are never truly finished paying for the privilege of living in their own home. The local property tax has no consideration for people's ability to pay. People are struggling at the minute with huge mortgages that they will have for the next 20 or 30 years, and many of them are in arrears. There is no consideration given to old age pensioners, who might be asset rich but income poor. Family homes are not wealth because they do not produce revenue streams.

Local services in my area of Meath West have not improved since the local property tax was introduced. It is as simple as that. I will tell the Minister why that is. In 2014, I was a councillor on Meath County Council. That year, and every year since, the people of Meath paid €18 million in property tax. When the Minister at the time, Phil Hogan, said that the local authorities would keep 80% of tax collected, he did not tell the people that other Government grants almost totalling the same amount would be withdrawn. Between the equalisation fund of €3.5 million going to other counties and grants being taken away, the people of Meath were better off by €900,000 for their €18 million. Since 2013, the people of Meath have paid €144 million in property tax. The only difference the property tax made to the Meath people was €7.2 million, out of €144 million paid by homeowners. That is why services in my county have not improved under the local property tax. Will the same happen again? The Minister says that local authorities can keep this money but will other grants be taken away? If I had to guess, I would say they will.

Comments

No comments

Log in or join to post a public comment.