asked the Minister for Local Government if he will state (1) the total amount paid by (a) county councils, (b) borough corporations, (c) urban district councils, and (d) any other local authority by way of interest on overdrafts from the end of the financial year 1940 up to the end of the financial year 1949-50; (2) what rates of interest were charged each year in respect of such overdrafts; (3) whether such overdrafts were repaid within the years in respect of which the credits were guaranteed by the banks, and (4) whether the local authorities are forced to seek these overdrafts because of the delay by Government Departments in paying statutory grants; and, if so, if he will state how soon this operating cause may be removed.
Ceisteanna—Questions. Oral Answers. - Interest Paid by Local Authorities.
The information asked for at parts (1), (2) and (3) of the question is not available in my Department, and I doubt if the local authorities would be in a position to provide it. In any event I would not feel justified in asking local authorities to have it specially compiled. In regard to part (4) of the question, overdrafts on the capital accounts of local authorities arise mainly through the commencement of capital works before loan mortgages are completed. The regulation of such matters is in the hands of the local authorities themselves. Overdrafts on the revenue accounts of local authorities arise mainly from expenditure getting ahead of the collection of the rates. They are normally heaviest in the June and September quarters in each year and decline according as the rates are collected. In some cases State grants are based on expenditure incurred by local authorities on particular services and cannot be fully paid until the expenditure is incurred. In the case of the agricultural grant a considerable proportion of it is paid in regular instalments from the month of May onwards. I can assure the Deputy that there is no avoidable delay in the payments of any State grants.