Gerry Adams (Louth, Sinn Fein)
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Question 17: To ask the Minister for the Environment, Community and Local Government how he intends to reallocate the funds raised through the household charge to local authorities; and if there is a shortfall in moneys raised, how this shortfall will be met. [5898/12]

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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The household charge is a local authority charge, the proceeds of which will be used to fund vital local services in our communities. The Local Government (Household Charge) Act 2011 provides that income from the household charge is to be paid into the Local Government Fund. I will disburse monies back to local authorities in general-purpose grants. It is considered that this approach is preferable to allowing local authorities directly retain all moneys collected from the household charge in their areas, as it will make it possible for me to equalise distribution, ensuring that those local authorities with lower populations than others do not suffer unduly as a result.

It is estimated that there are some 1.6 million residential properties potentially liable to the household charge. As such, if collected in full, the household charge has the potential to raise €160 million annually. The household charge is framed on a self assessment basis at a point in time. It is a matter for those who own residential property liable to the charge to declare this and to pay the charge by the due date, 31 March 2012. As an incentive to pay the self assessment charge, late payment fees and late payment interest apply and any amounts due and unpaid remain as a charge against the property concerned. Such amounts will have to be discharged in the event of the sale or transfer of the property concerned. Over 68,000 properties have registered to pay the household charge from 1 January to 31 January. This represents some €6.8m. The large numbers of people paying the charge is a clear indication of compliance with the legislation and the acceptance that the household charge is necessary to fund vital local services in our communities.

I will be keeping the income being generated from the household charge under constant review and I and local authorities will take any necessary measures, as appropriate, in regard to compliance with the legislation.