Dáil Éireann Debate, Wednesday - 14 July 2021
145. Deputy Cian O'Callaghan asked the Minister for Housing, Local Government and Heritage the estimated cost of the current waiver of commercial rates; the estimated cost of extending the commercial rates waiver until the end of 2022; and if he will make a statement on the matter. [38606/21]
View answerGiven the ongoing impacts of COVID-19 and the associated public health restrictions, and in order to continue supporting ratepayers and local authorities, the Government introduced a commercial rates waiver for the first nine months of 2021. This waiver applies to businesses most seriously affected by ongoing restrictions.
The businesses eligible for the waiver include:
- retail;
- hospitality including hotels, pubs and restaurants, leisure and entertainment;
- personal services such as hairdressers and barbers; and
- health services.
In recognition of the fact that there may be ratepayers excluded from the waiver that were severely impacted by the pandemic, it includes a provision that ratepayers not automatically eligible may engage directly with their local authorities, to demonstrate serious financial impact. In such circumstances ratepayers that are not automatically eligible, may also qualify. These applications are being reviewed by local authorities on a case by case basis.
The administration by local authorities of the 2021 waiver is ongoing. It is estimated that the nine month waiver will cost €480m, that is, €160 million per quarter, or approximately €53.3m per month. To extend the waiver on the same terms, to the end of 2022, for a further 15 months would cost an additional €800m or €1.28bn in total for 24 months.
As with all public health measures and associated supports, the waiver of commercial rates will be kept under review. As has been the case since the outset of the COVID-19 pandemic, my Department will continue to engage with the local government sector and with individual local authorities on the financial impacts of the pandemic.
