Flaherty wants government to cushion €2.7m revenue shortfall for Longford Council
Twin threats of reduced Local Property Tax charges and loss of ESB commercial rates a worry for local authority
Longford / Westmeath Fianna Fáil TD, Joe Flaherty, has warned that Longford County Council faces an almost €3m revenue threat in 2022 as a result of the reduced Property Tax Bills locally and the loss the commercial rates arising from the closure of the ESB power station in Lanesboro.
He addressed the proposed revisions to the Local Property Tax with Minister for Finance, Paschal Donohoe in the chamber this week.
Deputy Flaherty said, “ With the proposed bands over 1/3rd of Longford households will actually face a smaller LPT bill.”
He added, “It is good news for households but there are unnecessary consequences for Longford Co Council with a sudden shortfall of €1.5m in revenue.”
Deputy Flaherty is adamant that Longford Co Council must be compensated going forward whilst he also appealed to Minister Donohoe to make provisions in budget 2022 for the loss of commercial rates’ revenue arising from the power station closure.
The ESB paid €1.2m in commercial rates annually and whilst the government did receive a compensatory payment from the exchequer this year, Deputy Flaherty said it has to be continued.
He told Minister Donohoe: “The station was not expected to close until 2027 and it is imperative that provisions are made to offset this revenue threat for Longford until 2026 at the very least.”