Written answers
Tuesday, 21 July 2020
Department of Housing, Planning, and Local Government
Vacant Sites
Jennifer Whitmore (Wicklow, Social Democrats)
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317. To ask the Minister for Housing, Planning, and Local Government the amount generated from the vacant site levy for each county for each year since its implementation; the percentage of registered land that has paid the levy; the percentage kept by each county council for local expenditure, in tabular form; and if he will make a statement on the matter. [17038/20]
Darragh O'Brien (Dublin Fingal, Fianna Fail)
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Under the vacant site levy provisions in the Urban Regeneration and Housing Act 2015, planning authorities were empowered to apply a vacant site levy of 3% of the market valuation of relevant properties which were listed on local authority vacant site registers in 2018, which relevant owners were liable to pay in January 2019. The rate of the levy increased to 7% for sites listed on local authority vacant sites register from 2019 onwards which site owners became liable to pay in January 2020.
My Department proactively engages with local authorities with a view to ensuring that the vacant site levy achieves its full potential in terms of bringing concerned sites into productive use. In this regard, the Department issued Circular Letter PL 08/2020 on 9 June 2020 requesting the submission of a further progress report on the implementation of the levy by each local authority.
The Department received a return from each of the 31 local authorities which indicated that as of 31 May 2020 there were 352 sites listed on local authority registers.
The specific information requested by the Deputy is not available in my Department. However, the progress reports noted the following:
2018
- 89 sites valued at €139.9m were liable to the levy at a rate of 3% (€4.2m) in 2019;
- 89 demand letters in respect of sites valued at €4.2m issued in 2019/2020 in respect of 2018;
- €882k in levy payments were received in respect of 2018;
- Payments of €1.4m are outstanding in respect of 2018*.
*It should be noted that some sites were cancelled following the issuing of a demand for payment due to appeal or commencement of development etc. As a result, the amount collected plus the amount outstanding does not equal the value of the demands issued.
2019
- 211 sites valued at €2,373m are liable to the levy at a rate of 7% (€16.6m) in 2020;
- 94 demand letters in respect of sites valued at €12.2m issued in 2020 in respect of 2019;
- €245k in levy payments were received in respect of 2019;
- Payments of €14.8m are outstanding in respect of 2019*.
* Some local authorities noted delays in issuing demands for payments in 2020 due to COVID-19. As a result, the payments outstanding is currently greater than the demands issued.
The below table sets out the information available in relation to the specific request:
| Planning Authority | 3% Levy Liability 2019 | € payments collected 2019 | 7% Levy Liability 2020 | € payments collected 2020 |
|---|---|---|---|---|
| Carlow | 0.00 | 0.00 | 0.00 | 0.00 |
| Cavan | 0.00 | 0.00 | 0.00 | 0.00 |
| Clare | 0.00 | 0.00 | 0.00 | 0.00 |
| Cork County* | 380,910.00 | 0.00 | 573,790.00 | 0.00 |
| Cork City | 0.00 | 0.00 | 1,120,875.00 | 0.00 |
| Dun Laoghaire-Rathdown | 0.00 | 0.00 | 2,264,500.00 | 0.00 |
| Donegal | 14,611.95 | 0.00 | 34,094.55 | 0.00 |
| Dublin City | 2,935,650.00 | 640,950.00 | 6,138,300.00 | 227,500.00 |
| Fingal | 14,400.00 | 0.00 | 94,080.00 | 0.00 |
| Galway City | 0.00 | 0.00 | 0.00 | 0.00 |
| Galway County | 0.00 | 0.00 | 0.00 | 0.00 |
| Kerry | 0.00 | 0.00 | 0.00 | 0.00 |
| Kildare | 0.00 | 0.00 | 0.00 | 0.00 |
| Kilkenny | 151,800.00 | 72,900.00 | 934,850.00 | 0.00 |
| Laois | 0.00 | 0.00 | 0.00 | 0.00 |
| Leitrim | 0.00 | 0.00 | 0.00 | 0.00 |
| Limerick | 0.00 | 0.00 | 935,200.00 | 0.00 |
| Longford | 2,250.00 | 0.00 | 0.00 | 0.00 |
| Louth | 0.00 | 0.00 | 0.00 | 0.00 |
| Mayo | 0.00 | 0.00 | 0.00 | 0.00 |
| Meath | 0.00 | 0.00 | 730,450.00 | 0.00 |
| Monaghan | 0.00 | 0.00 | 0.00 | 0.00 |
| Offaly | 0.00 | 0.00 | 0.00 | 0.00 |
| Roscommon | 0.00 | 0.00 | 227,500.00 | 17,500.00 |
| Sligo | 0.00 | 0.00 | 1,596,350.00 | 0.00 |
| South Dublin | 132,600.00 | 0.00 | 712,250.00 | 0.00 |
| Tipperary | 0.00 | 0.00 | 72,893.31 | 0.00 |
| Waterford | 255,365.58 | 3,645.00 | 595,853.02 | 0.00 |
| Westmeath | 0.00 | 0.00 | 0.00 | 0.00 |
| Wexford | 12,000.00 | 0.00 | 28,000.00 | 0.00 |
| Wicklow | 300,000.00 | 165,000.00 | 555,450.00 | 0.00 |
| Total | 4,199,587.53 | 882,495.00 | 16,614,435.88 | 245,000.00 |
* Following the issuing of demands, 5 sites with a levy liability of €87,960 were transferred from Cork County Council to Cork City Council as part of the Boundary re-alignment.
All levies due on an individual site will remain a charge on the land concerned until all outstanding levies due are paid. Accordingly, under the vacant site levy provisions, there will be a cumulative effect associated with not activating a site for development purposes for each year that a site remains vacant or idle and in respect of which levy liability is not paid. Local authorities are currently in the process of implementing debt recovery procedures to recoup arrears due.
The levy is not intended to be a revenue generating measure with the proceeds accruing to the relevant local authority rather than the Exchequer. The levy proceeds generated are specifically intended to be used by local authorities for the provision of housing and regeneration development in the local area in which vacant sites are located. No more than 10% of the levy monies received by planning authorities may be used on their administration costs in collecting the levy.
The progress reports received from planning authorities in response to Circular PL 08/2020 are currently being examined in greater detail by my Department to consider, amongst other things, what further implementation supports may be required. My Department will continue to engage proactively with local authorities to ensure that all vacant site levies due are paid and that the measure can achieve its full potential.
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