Bernard Durkan (Kildare North, Fine Gael)
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Question 109: To ask the Minister for the Environment, Heritage and Local Government if his attention has been drawn to the shortage of funding affecting all local authorities; if he has proposals to address the issues; and if he will make a statement on the matter. [20766/08]

John Gormley (Dublin South East, Green Party)
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This year I am providing €999.2m in general purpose grants from the Local Government Fund to local authorities. These grants are my contribution to local authorities to meet the difference between the cost to them of providing an acceptable level of day to day services and the income available to them from local sources and specific grants. The amount being made available for general purpose grants has been increased by some €51.5m, or 5.4%, over the amount provided for 2007.

I am satisfied that the general purpose allocations I have provided for 2008, together with the income available from local sources and specific grants, will enable local authorities to provide an acceptable level of services to their customers.

In my green paper Stronger Local Democracy — Options for Change, I have recognised the financial challenges facing local government in the coming years, and the specific task assigned to the new Commission on Taxation to consider and make recommendations on the options for the future financing of the sector.