Lucinda Creighton (Dublin South East, Fine Gael)
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Question 138: To ask the Minister for the Environment, Heritage and Local Government the measures that he will take to alleviate the burden of local authority rates on small and medium-sized businesses; and if he will make a statement on the matter. [27470/09]

John Gormley (Dublin South East, Green Party)
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Local authorities are under a statutory obligation to levy rates on any property used for commercial purposes in accordance with the details entered in the valuation lists prepared by the independent Commissioner of Valuation under the Valuation Act 2001. The levying and collection of rates are matters for each individual local authority and the Minister for the Environment, Heritage and Local Government has no direct function or involvement in this matter.

Rates income is an important contribution to the cost of services provided by local authorities, such as roads, public lighting, development control, parks and open spaces. All rates collected within a local authority are spent exclusively in providing services in that area. These services are of considerable benefit to all and any diminution of rates income would directly affect the provision of such services.

I am nevertheless acutely aware of the pressures on small and medium-sized businesses at the present time and I specifically requested that local authorities exercise restraint in setting commercial rates in their 2009 budgets in order to support competitiveness in the economy and to protect the interests of communities. As we move into 2010 I will continue to keep the approach to rates by local authorities under regular review.