James Bannon (Fine Gael)

This is the third time I have submitted this matter. I hope the Minister of State will react positively to it. While the time limit for applications under the urban renewal tax incentive scheme was extended from 31 December 2004 to 31 December 2006, which is very welcome, I am puzzled as to the reason the Minister of State has not made provision for those towns which did not qualify under the original scheme to participate now. This time extension for the urban renewal scheme which is operating in 100 small towns will allow developers and local authorities the opportunity to extend the take-up under the scheme.

The relief available afforded a unique opportunity to individuals and groups to undertake this development and will contribute to important objectives of population retention and growth in those selected towns. The scheme will also support industrial, commercial and rental residential development. It affords owner-occupiers of new or refurbished dwellings an opportunity to qualify for personal income tax relief on the cost of construction or renovation of such buildings.

The urban renewal scheme provides tax incentives for certain towns outside the urban renewal scheme area with populations between 500 and 6,000 people. One hundred towns have qualified. The towns which have qualified to date are thriving and this is recognised by local authorities, developers and the public.

In October 2002, the Minister of State admitted that the take-up of the scheme had been very slow, yet to date there are towns which have not qualified under the original scheme. It appears the scheme is under-subscribed. I ask the Minister of State to shed some light on this anomaly and clarify the reason these towns are being excluded. I have received many representations from chambers of commerce and other development associations in County Longford and in other counties on the western seaboard who feel they were hard done by last time. I ask the Minister of State to give some consideration to all villages and towns in the BMW region.