Michael McGrath (Cork South Central, Fianna Fail)
Link to this: Individually | In context

Question 476: To ask the Minister for the Environment, Community and Local Government his plans to review Section 20(1) of Cork City Management (Amendment) Act 1941 in view of the fact that it limits to 50% the reduction in local authority rates that may be granted to the owner of a vacant commercial premises in the city; the rationale behind the provision; if similar provisions apply to other local authorities here; and if he will make a statement on the matter. [32409/12]

Phil Hogan (Carlow-Kilkenny, Fine Gael)
Link to this: Individually | In context

The Local Government Act 1946 provides that where a property in a county council or urban area is unoccupied on the date of the making of the rate, the owner becomes liable for payment of rates. However, the owner is entitled to a 100% refund if the property is vacant for specified purposes. These are where the premises are unoccupied for the purpose of the execution of additions, alterations or repairs; where the owner is bona fide unable to obtain a suitable tenant at a reasonable rent; and where the premises are vacant pending redevelopment.

A small number of urban local authorities have historically had separate legal provision enabling a refund of 50% of rates on vacant properties. While the same criteria for refunds apply, 50% of the rates paid is refundable to the owner of vacant premises in these cities. These legislative provisions are section 71 of the Local Government (Dublin) Act 1930; section 29 of the Limerick City Management Act 1934; and section 20 of the Cork City Management (Amendment) Act 1941. The majority of local authorities are, however, subject to the provisions of the 1946 Act. Any proposal to alter the existing rebate system would require legislative amendment on a nationwide basis.

I recognise that these are difficult economic times for many businesses and I am continuing to keep all matters relating to rates under regular review. I have no immediate plans to amend legislation in relation to commercial rates and, in particular, to the question of refunds in respect of vacant premises.