Seanad debates

Thursday, 10 July 2025

Nithe i dtosach suíonna - Commencement Matters

Tax Code

2:00 am

Photo of Mary FitzpatrickMary Fitzpatrick (Fianna Fail)

I welcome the Minister of State and thank him for coming to the House this morning.

My Commencement matter this morning calls for the Minister for Finance to make a statement on the proposal from Dublin City Council for the introduction of a tourist bed tax and for the Minister to make a statement on his Department's proposals to legislate to give local authorities revenue-raising powers.

The Minister of State will be aware that the introduction of a bed tax, accommodation tax or tourism tax - there are many ways it is referred to - is an idea that has been spoken about for many years but the concept of a visitor tax in the capital is one that Dublin City Council has been progressing. It is the norm in many other large international cities. Amsterdam has one, as do many other European cities.

The Dublin City Council proposal is for the Government to give powers to the local authority to, at the latter's discretion, introduce a local visitor tax. The idea from Dublin City Council is that it would have the power to raise its own revenues and would use those additional revenues to address issues in the capital, such as street cleaning, public space maintenance, the public domain, enhancements in infrastructure, and investment in culture, heritage and entertainment in the city.

I acknowledge when raising this issue that there are significant and record levels of funding being transferred from central government to local government. It is over €750 million this year alone. I also acknowledge the announcement last week of the adjustment to the local property tax, which will result in an additional €19 million in funding for Dublin City Council in 2026. That is really welcome. However, if the Minister of State comes with me and walks along the streets of Dublin, he will conclude, as I have done, that the place is filthy most of the time. It is unacceptably dirty. I appreciate that Dublin City Council has a challenge. It is a really busy city with heavy footfall, but we need a cleaner city. We need the public spaces to feel safe and clean.

We also need investment in our culture, heritage and entertainment. There are incredible works being done in the city in terms of culture - everything from the people down in The Complex in Smithfield, Stoneybatter Festival, Phizzfest, The Five Lamps Arts Festival, the Gate Theatre, and even Style in the City, which is being promoted over the weekends and whereby, on Henry Street and Grafton Street on alternating Saturdays, we will have catwalks, fashion shows and all sorts of style.

The city council, DublinTown and many others are doing great work but the Dublin city councillors themselves feel that they need the power to introduce a visitor tax that they can use to further enhance the city experience. I hope the Minister of State can advise the House on the work his Department has done to examine their proposal, his intentions and his Department's intentions to give powers to the local authorities to have revenue-raising within their own jurisdiction, how that might potentially work and the timescale for same.

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