Written answers

Tuesday, 22 September 2020

Department of Culture, Heritage and the Gaeltacht

Local Authority Funding

Photo of Cian O'CallaghanCian O'Callaghan (Dublin Bay North, Social Democrats)
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355. To ask the Minister for Housing, Planning, and Local Government the long term supports that will be provided to local authorities with Covid-19 related budget deficits; and if he will make a statement on the matter. [25343/20]

Photo of Darragh O'BrienDarragh O'Brien (Dublin Fingal, Fianna Fail)
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My Department continues to make every effort to assist local authorities with the financial challenges they are experiencing since the outbreak of the Covid-19 pandemic, including cash flow support by bringing forward payments where possible, so that the vital services that local authorities deliver can be maintained. As cash flow support, in early April an advance of €136m of LPT allocations was made to authorities, and the entirety of LPT allocations for 2020, some €517m, was paid out by early September rather than the normal payment spread that continues later into the year. In addition my Department arranged for the payment of 50% of each local authority’s individual Payroll and PSPR allocation, amounting to almost €55.m, in mid-June.

To support both the local government sector and the business community, €600m has been allocated by Government, as part of the July Stimulus package, to fund the cost of a waiver of commercial rates for six months to 27 September 2020 for eligible businesses badly impacted by the COVID-19 pandemic. This will take the form of a credit in lieu of rates.

It is also recognised that additional costs are being incurred by local authorities in relation to Covid-19. Local authorities have been advised to capture all related costs in their financial systems to aid financial analysis of the impact of Covid-19 on the local government sector. My Department also continues to keep local authority income, expenditure and cash flow under review and will continue to work with all local authorities, both collectively and individually, on issues arising.

Photo of Cian O'CallaghanCian O'Callaghan (Dublin Bay North, Social Democrats)
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356. To ask the Minister for Housing, Planning, and Local Government the amount each local authority will receive from his Department over the next three years; and if he will make a statement on the matter. [25344/20]

Photo of Darragh O'BrienDarragh O'Brien (Dublin Fingal, Fianna Fail)
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Central Government funding to local authorities involves a wide range of Departments and Offices, with funding allocated for a variety of purposes. Some streams of funding are delivered directly from Government Departments to local authorities, while others are routed through Departmental agencies. The Comptroller and Auditor General reports on the central government funding of local authorities as part of his Annual Report, which provides an overview of the funds flowing from and through central government sources to local authorities and the purposes for which funds have been provided. The most recent of which is available at the following link;

Chapter-11-Central-government-funding-for-local-authorities.pdf

The funding provided by central government, including my Department, to the local government sector is decided on an annual basis as part of the estimates and budgetary process. Preparations for Budget 2021 are underway in my Department at present, as they are across Government, but remain to be finalised.

It is not possible to anticipate budgetary decisions for 2022 or 2023.

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