asked the Minister for Local Government if his attention has been drawn to the alarming increase in local rates and if he will take steps with a view to relieving the burden on the ratepayers either by providing increased grants or by reducing the commitments of the local authorities.
Ceisteanna—Questions. Oral Answers. - Relief of Ratepayers.
Mr. Murphy
Local rates have been increasing, and from the copies of the annual estimates which have reached me for the year commencing on 1st April next I gather that further increases may be expected in most areas. Grants have also been increased. The Agricultural Grant, for instance, will probably show a substantial increase next year and go far in relieving occupiers of land. The grants for certain works on main and county roads will be continued on the scale of the current year. The plan by which the State will bear the increased cost of the extension of health services until such time as the State contribution equals that of the local authority should relieve local authorities for some years of the additional cost of the new health services. It is inevitable, I fear, that owing to the increased cost of services, commodities and materials that both local bodies and the State will be faced with increased expenditure on local services and I hope that the State will continue to assist local authorities as generously as possible. The local authorities on their part must keep a watchful eye on expenditure and see that there is no waste or overlapping and that their demands do not go beyond the ability of the ratepayers. I am happy to notice that in recent years the rate collection, particularly in the counties, has been good and that the ratepayers have met their obligations in a very satisfactory manner. I do not think that a solution of the difficulty created by rising costs should be met by curtailing necessary services or that substantial transfers from the ratepayer to the taxpayer are at the moment feasible. Each will have to bear a fair share of the added burden.
I would like, however, that local authorities themselves should take the initiative in suggesting any schemes which would effect economies by eliminating waste and overlapping. Such an opportunity will offer itself in connection with the annual examination of the Estimates, hut if a more extensive overhaul of existing services and methods is considered desirable I would be very glad to encourage local authorities to appoint special committees for the purpose who might be in a position to report during the coming financial year.
Arising out of the Minister's reply, is the Minister aware that the steep increase in local rates is having a very serious effect upon private initiative and enterprise? The smallholder, and property owner generally is being clearly scared from embarking on the extension of his enterprise by reason of the ever-increasing burdens which are being placed upon him. Will the Minister consider the desirability, firstly of introducing legislation for derating agricultural land and, secondly, of fixing a statutory limit beyond which local rates may not be increased, or failing that, to provide that roads be made a national charge?
Would the Minister see that his reply is circulated to county managers and local bodies? To my mind, it would be very helpful to them.
Mr. Murphy
Deputy Cogan asked me to travel a very wide road this evening and I do not think that the House would expect me——
Are we to take it from the Minister's lengthy reply that it is not proposed to do any more than has already been done or was proposed to be done for the local authorities under the Fianna Fáil Administration?
It is.
Mr. Murphy
I can only ask the ex-Minister to study the matter now that he has more leisure to study it.