Tuesday, 26 February 2013

Questions (424)

Terence Flanagan


424. Deputy Terence Flanagan asked the Minister for the Environment, Community and Local Government his plans to instruct local authorities to reduce commercial rates for struggling businesses; and if he will make a statement on the matter. [9917/13]

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Written answers (Question to Environment)

Local authorities are under a statutory obligation to levy rates on any property used for commercial purposes in accordance with the details entered in the valuation lists prepared by the independent Commissioner of Valuation under the Valuation Act 2001.

The levying and collection of rates are matters for each individual local authority. The annual rate on valuation (ARV), which is applied to the valuation for each property determined by the Valuation Office to obtain the amount payable in rates, is decided by the elected members of each local authority in the annual budget and its determination is a reserved function.

However, in recent years local authorities have been urged by my Department to exercise restraint or, where possible, to reduce commercial rates. Local authorities have responded well to such requests. The latest available figures indicate that ARVs for 2013 have decreased nationwide on average by 0.33% compared to 2012. This follows a similar decrease of 0.31% in 2012, 0.64% in 2011 and 0.62% in 2010.

I recognise that these are difficult economic times for many businesses and I am continuing to keep all matters relating to rates under regular consideration in my Department.