Michael D'Arcy (Wexford, Fine Gael)
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Question 64: To ask the Minister for Arts, Sport and Tourism if he has had discussions with officials of the Department of the Environment, Heritage and Local Government with regard to the various local government charges and levies which are acting as a barrier to hotel and catering businesses, particularly in the Dublin region; and if he will make a statement on the matter. [8611/09]

Martin Cullen (Waterford, Fianna Fail)
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As the Deputy is aware, the levying of rates and service charges is an independent function of the Local Authorities. I am acutely conscious of the impact of the various local authority charges on the hotel and hospitality sector and indeed the Tourism Strategy Implementation Group raised the issue in its June 2008 report to me.

I am also aware that the Commission on Taxation is also examining funding of Local Authorities and my Department has stressed to the Commission that there is a need for broad based funding of local authorities that should not unreasonably discriminate between economic sectors. I have also strongly advised the industry to engage directly with the Commission.

While I recognise that Local authorities must be able to raise revenue in order to fulfil their mandates I am anxious to avoid charges that could have a detrimental effect on the competitiveness and performance of the tourism industry. Accordingly my officials and I have recently expressed concerns to the Minister for Environment, Heritage and Local Government and his officials in this regard.