Barry Ward (Dún Laoghaire, Fine Gael)
Link to this: Individually | In context

581. To ask the Minister for Housing, Planning, and Local Government if he will confirm that no local authority will be disadvantaged in terms of the quantum of central Government funding it receives on the basis of the rate it finalises for Local Property Tax; and if he will make a statement on the matter. [39138/25]

James Browne (Wexford, Fianna Fail)
Link to this: Individually | In context

Local authorities may vary the rate of Local Property Tax (LPT) in their administrative area by up to 15% of the basic rate of the Tax. The decision to vary must be taken by resolution of the Council. While recent changes to the LPT legislation will allow elected members to adjust the Local Adjustment Factor (LAF) upwards to a maximum of 25%; due to the timing of the legislation, commencement of this section will be delayed until the 2027 LPT liability year.

If a local authority decides to vary the LPT basic rate upwards; 100% of the resultant additional income will be available for the authorities’ own use. Similarly, if an authority decides to vary the LPT basic rate downwards (by up to 15%), the resultant loss in LPT income will be reflected in reduced LPT funding to the authority. The power to vary LPT rates enables elected members to directly influence the level of LPT income they have to meet their expenditure requirements and is irrespective of the amount of central Government funding the authority may otherwise receive.