merrion street

• Benefit amounts from Equalisation Fund finalised
• 15% LPT variation calculated for all Local Authorities

The Government today finalised the implementation of the Local Property Tax; 80% of LPT will be retained locally to fund vital public services in 2015. The remaining 20% will be re-distributed to provide top-up funding to certain local authority areas that have lower property tax bases due to the variance in property values across the State.

Given that local authorities vary significantly from one another in terms of size, population, public service demands, infrastructure and income sources, the Government has decided that no local authority will receive less income from LPT in 2015 than they received from the Local Government Fund in 2014.

Local authorities who stand to receive more income in 2015 from LPT than they received from the Local Government Fund in 2014 will be entitled to use a certain portion of that additional funding for their own discretionary purposes as part of their normal budgetary process.

Environment Minister Alan Kelly said today:

These measures will provide certainty and balance to the finances of local Government and give councillors a greater say in how their authorities are funded, ensuring 80% of LPT is spent locally. All local authorities will be funded to their 2014 levels.

We have also recognised the contribution made by other local authorities with property bases with greater values by providing additional discretionary income for them. This will allow local authorities where property tax levels are highest to implement a full 15% reduction of the LPT should the elected members vote for it or alternatively to increase the level of public services that they are providing.

Read the full press release

.

See tables