Written answers

Thursday, 29 March 2012

Department of Finance

Local Authority Charges

1:00 pm

Photo of Michael McGrathMichael McGrath (Cork South Central, Fianna Fail)
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Question 84: To ask the Minister for Finance if he has discussed with the Department for the Environment, Community and Local Government the current low rate of payment of the household charge and the impact of any potential shortfall in the revenue raised on his budgetary projections for 2012; and if he will make a statement on the matter. [17482/12]

Photo of Michael NoonanMichael Noonan (Limerick City, Fine Gael)
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The latest available information as at 4 p.m. yesterday Wednesday March 28th indicates that €42,659,900 has been paid under the household charge so far. A further €5.5m in postal applications were on hand to be processed. The Budget Day arithmetic allowed for €160 million to be collected under this charge. As has been stated several times, any persons who are liable for the charge and have not registered will incur fines and penalties and payment of the charge will continue to be sought. As we approach the payment deadline I am confident that the numbers paying the charge will rise.

The Revised Estimates for Public Services, published by my colleague, the Minister for Public Expenditure and Reform, last month shows that the revenues from the charge are to be paid directly into the Local Government Fund and used to fund Local Government services. With revenues going directly to the Local Government Fund, this means the Exchequer is no longer required to make a subvention to the fund. There will be no additional Exchequer funding available for the Local Government sector should there be a shortfall in revenues.

Our budgetary targets are challenging and Government's primary objective is to ensure that Ireland meets the 8.6% General Government Deficit target set for 2012. Ireland has greatly enhanced its reputation by consistently meeting all targets and commitments agreed under the Programme of External Assistance and this has been reflected in positive media commentary and improved financial market sentiment. It is vital that this continues.

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