Terry Leyden (Fianna Fail) | Oireachtas source

I welcome the Minister of State at the Department of Public Expenditure and Reform, Deputy Brian Hayes, who is accompanied by Mr. John O'Sullivan, Commissioner of Valuation, and Mr. Terry Walsh, of the Department of Public Expenditure and Reform.

I was delighted to listen to the contributions that have been made. Senator Terry Brennan has expressed his views in a solid and reasonable manner, as have other Senators. The Minister of State intends to provide the best solution. He is aware, as everyone is, of the difficulties rates pose to anyone running a business. One hotel in County Kildare must pay ¤600,000 per year in rates but that cannot be sustained. The valuation system is unfair and rateable valuations for each council vary, a point made by Senator Kelly.

In 1977, well before the Minister of State's time, there was a famous rate amnesty for houses. At the time, valuation rates varied between counties. The then Government should have introduced one rateable valuation for the country, thus making the system equitable. Unfortunately, that was not the case and rates were abolished. The current Bill is an effort to ensure that valuations are accelerated. Senators on this side of the House would agree that some aspects of the Bill do not go far enough.

Senator Brennan made a good point about the difficulty faced by people who wish to start new businesses. Let me be quite clear that I am not talking about a business that was closed down and wishes to start again. Rates are a large burden for new businesses in their early years. They need a reduction in rates or some exemption that will assist them in commencing their businesses. The payment of rates is a major issue for them. I know that the Government is also concerned about job creation and maintaining employment. A small company in my area must pay ¤20,000 in rates per annum, an enormous amount of money. Rates are also an enormous burden on hotels with leisure centres that must work very hard just to pay their overheads.

Several contributions have been made. I welcome the presence of the Commissioner of Valuation at this debate because he plays a particular role in this regard. There have been questions on an appeal system that operated successfully. It was also suggested that each local authority manager could reduce or waive rates where it is shown that a company or small trader was unable to pay. Such a suggestion was appreciated. It would be more difficult for each manager because he or she is trying to maintain revenue for his or her local authority. Managers realise that rates place an enormous financial burden on individuals.

When Bertie Ahern was the Minister for Finance there was an issue about the rate valuation for licensed premises, such as public houses. He wanted to charge a large amount for every premises, irrespective of size, but I fought the case. It was like comparing taxes for a Mini and a Mercedes. There was an agreement to base the amount for the licence on a company's revenue turnover.

This is an important Bill. The Minister of State is in discussions with interested parties and we will have an important debate on it when it comes before us again. I shall leave the Bill aside.

I want to highlight the fact that today, 11 October 2012, is the first international world day of the girl as designated by the United Nations. It celebrates the lives of young girls, ladies or women. The day is being celebrated throughout the world with inspirational displays at political forums and events, including at the Empire State Building in New York and the iconic London Eye.

Councillor Orla Leyden has brought this to my attention. I am surprised colleagues on all sides of the House did not mark this day-----