Gerald Nash (Louth, Labour)
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224. To ask the Minister for Housing, Planning, and Local Government the estimated revenue that would be raised from increasing the vacant site levy to 20% based on the most recent valuation data; and if he will make a statement on the matter. [38686/22]

Peter Burke (Longford-Westmeath, Fine Gael)
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Under the vacant site levy provisions in the Urban Regeneration and Housing Act 2015 (the Act), 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 registers from 2019 onwards which site owners became liable to pay in January of the following year.

My Department recently issued Circular Letter PL 03/2022 requesting the submission of a further progress report on the implementation and collection of the levy by local authorities.

My Department received a return from each of the 31 local authorities which indicated that as of 1 January 2021 there were 179 sites with market valuations of €103.68m listed on local authority registers and liable to the levy in 2022. These sites will be levied at 7% market valuation rate in 2022 unless works commenced in the interim or their inclusion on the registers is successfully appealed. Based on the information from the recent progress reports, it is estimated that the levy proceeds could be of the order of €20.736m in 2022 if it was applied to the sites listed in the most recent progress reports at a rate of 20%.

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.