Dáil Éireann Debate, Tuesday - 4 November 2014
965. Deputy Eoghan Murphy asked the Minister for the Environment, Community and Local Government the purpose motor tax receipts will now be put following the creation of Irish Water and the commencement of domestic charging. [41372/14]
View answerIncome from Motor Tax currently accrues to the Local Government Fund. The Fund has historically provided local authorities with finance for funding some of their day-to-day activities, including elements of water services costs, through General Purpose Grant allocations; for non-national roads; and funding for certain local government initiatives. As a result of the introduction of Local Property Tax in 2013 and the establishment of Irish Water, the local government funding model has changed considerably in 2014 . The funding to be provided to local authorities for the provision of water services in 2014 is governed by Service Level Agreements between Irish Water and individual authorities and therefore the authorities are no longer in receipt of funding for water services costs directly from the Local Government Fund . At the same time, in accordance with the Finance (Local Property Tax) Act 2012, commencing this year, the Minister for Finance will pay into the Local Government Fund an amount equivalent to the Local Property Tax paid into the Central Fund during that year. The following table shows the change in Local Government Fund income and expenditure from 2013 to 2014.
Income
|
€m |
2013 |
*2014 |
|
Motor Tax (net) |
1,135.50 |
1,160.00 |
|
Exchequer Contribution |
0 |
0 |
|
Household Charge |
23.1 |
0 |
|
Local Property Tax |
0 |
550 |
|
Interest |
0.2 |
0.2 |
|
Total |
1,158.80 |
1,710.20 |
*Estimate for 2014
Expenditure
|
€m |
2013 |
*2014 |
|
General Purpose Grants |
640.9 |
282 |
|
Road and Public Transport Payments |
408 |
363.9 |
|
Payment to Exchequer |
100 |
600 |
|
Irish Water Subvention |
0 |
486.5 |
|
Other Miscellaneous |
58.4 |
46.5 |
|
Total |
1,207.30 |
1,778.90 |
*Estimate for 2014
Decisions in relation to Local Government Fund income and expenditure for 2015 will be finalised as part of the Revised Estimates Volume process.
