Michael McGrath (Cork South Central, Fianna Fail)
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75. To ask the Minister for Finance to explain the reason the Living City initiative, originally announced in October 2012, has not yet commenced; when he expects the initiative to be operable; his plans for further changes to the criteria for the initiative; and if he will make a statement on the matter. [15055/15]

Michael Noonan (Limerick City, Fine Gael)
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The Living City Initiative was legislated for in Finance Act 2013 but will only come into operation on the passing of a Commencement Order. The reason for the delay in the initiative coming into effect was related to EU State Aid approval. A number of amendments were made to the Living City Initiative in Finance Act 2014. In particular, the Act incorporated new limits on the amount of qualifying expenditure on which relief can be claimed in relation to the conversion or refurbishment of certain commercial premises. The purpose of the amendments was to bring the LCI within the de minimis levels of State Aid. As such, we are now in the advanced stage of discussions with Limerick, Waterford, Dublin, Galway, Kilkenny and Cork City Councils and the Revenue Commissioners in order to finalise the eligible areas for relief under the Living City Initiative ("Special Regeneration Area" as defined in Section 372AAA Taxes Consolidation Act ("TCA") 1997) and to operationalise the relief. An order will be made to designate the Special Regeneration Areas and a Commencement Order will need to be made to bring the relief into operation. Work on this Initiative is at a very advanced stage and we intend to launch the Initiative soon.

There are currently no plans to make any changes to the criteria to qualify for the Living City Initiative but of course, the Initiative will remain subject to review following its implementation.