DLR CHAMBER BUDGET SUBMISSION 2023 RE LOCAL PROPERTY TAX ( LPT)

Issued and dated September 2022

This is DLR County Chamber’s submission to DLR County Council, as invited, in terms of the views of citizens in this county in terms of the % around the LPT for 2023.

Our Conclusion and recommendation is that DLR County Council and our Councillors must continue with its majority decision in voted policy of reducing the LPT by the maximum 15%.  And our reasons why are detailed in this document.
Indeed the fact that inflation has now hit 9% this week is also a key factor in our conclusions.
We believe that DLR County Council must take a holistic view of Housing for our County taking the following into account:

  • The fact that 2013 onwards housing is now in the LPT net – and a report should be made clear on same, and the contribution to the budget for 2023 onwards
  • That fact that equalisation is now gone and DLR County Council now retains the 20% – again a contribution to the bottom line budget.
  • That Housebuilding is set to hit the highest level in Ireland since before the financial crisis`- with over 28,000 completions for 2022 – and many more forecast – must be taken into account for DLRCC budgets and planning – ref BNP Paribas Report issued September 2022
  • The damage that the SHD process has inflicted on our county with poor planning – against LAPs and DLRCC Development plan – must be addressed – with a focus on delivering what we need in this county – affordable housing to both buy and rent where applicable to serve both our population and business!

DLR’s recently adopted Strategic Plan (March 2022) came into effect on the 21st April 2022, setting out of the vision and objectives for the County over the next six years – from 2022-2028.  The Vision for Dún Laoghaire-Rathdown is to embrace inclusiveness, champion quality of life through healthy placemaking, grow and attract a diverse innovative economy and deliver this in a manner that enhances our environment for future generations.
This comprehensive vision references a necklace of towns and villages that make up the County and will guide future climate resilient and economically vibrant growth and development over the 6 year period from 2022-2028. There is a focus on biodiversity, heritage and the coastal and upland amenities which are an integral part of the unique character of the DLR County. The vision is underpinned by five strategic County outcomes centred around the ten minute neighbourhood concept which aims to ensure that people can walk, cycle or use public transport to access their day to day needs and services such as schools, shops, parks and employment, as shown in the two tables below.

Strategic County Outcomes

Dun Laoghaire Rathdown Chamber of Commerce is the voice of industry in the County, small, medium and large. DLR Chamber is keen to support DLR County Council’s Plan in achieving its vision and strategic objectives as set out above and committed to work with DLR County to make the region a significant driver of Regional, National and EU growth over the coming years.

This DLR Chamber 2023 budget submission identifies key issues impacting on the potential economic growth of the County and offers workable solutions for the achievement of DLR County vision and objectives.

Enterprise and Employment

Affordable Housing
There needs to be an increase in the supply of affordable homes.   One of the key strategic outcomes which underpins the overall DLR Development Plan is the  creation of a County which delivers sustainable employment and economic growth and achieves higher standards of living for all.  The success of enterprise and employment in the County is intertwined with maintaining and enhancing the attractiveness of the County as a high quality place to live, work and visit.

The Employment Strategy of the current DLR County Development Plan seeks to align strategic employment locations with existing and identified residential growth areas through existing high frequency public transport corridors and active travel thereby minimising the divergence between the places people live and work, increasing the efficiency of land-use, reducing sprawl and minimising carbon footprint. The strategy is aimed at supporting the expansion of key strategic employment locations at Sandyford, Cherrywood, Carrickmines and seeks to retain and enhance the important role of employment in the County’s Major Town Centres.

DLR Chamber is of the view that to achieve this aim growth in the supply  of affordable housing is imperative and key to achieving DLRs employment enterprise and employment strategy.  Currently the supply of affordable housing  does not meet the demand for affordable housing for DLR’s employees, particularly employees in medium to low income.   DLR Chamber requests that an increase in the supply of affordable housing becomes a key factor in framing the 2023 Budget.  Specifically, DLR Chamber is requesting the following be reflected in Budget 2023:

  • DRL affirm a commitment to the provision and growth in the supply of affordable housing over the next 10 years. This affirmation becomes core to DLR’s affordable housing policy, with a commitment to support the delivery of 1,000 new affordable purchase homes each year to 2032..
  • DLR work with the Land Development Agency and other Government agencies to implement the Housing for All strategy to deliver this affordable housing target.
  • DLR to become proactive in the acquisition  of vacant sites through compulsory purchase orders for the construction of affordable housing
  • DLR County Council to review its policy of punitive levies in its new growth areas such as Kilternan Glenamuck which places a huge burden on the affordability of homes in this growing area.

Working from Home
The increase in home working as a result of COVID-19 has brought remote working to the forefront of working life. The objective of the Government Remote Working strategy (Making Remote Work – National Remote Work Strategy 2021)  is to ensure that remote working is a permanent feature in the Irish workplace in a way that maximises economic, social and environmental benefits.
According to a recent Irish study (2022) in a post pandemic environment even with the roll-out of an effective vaccine, there will be a transition phase of return to the workplace and continued physical distancing measures. The research argues that  a return to the workplace in a manner that existed immediately pre-COVID-19 is very unlikely for some time, with some predicting that COVID-19 will have lasting impacts on how and where we work.

A recent Government evaluation (May 2022) found that remote working is likely to have a positive impact on the Irish economy and society. The evaluation noted that emissions savings made from reduced transport usage are likely to exceed any extra household emissions, leading to net environmental gains from remote working.

DLR Chamber recognises the benefits and challenges of remote working – economic, environmental and health. In particular, the Chamber, recognises some of the problems working from home has produced. The problem of lack of physical space in current housing and apartment design and the need for better and faster connectivity.
DLR Chamber requests DLR to review, amend and update current building regulations for domestic accommodation to reflect additional spatial needs related to working from home.

Childcare
The absence of support to access affordable quality childcare remains one of the most significant barriers to women’s equal participation in society. Ireland has the second highest childcare costs across the OECD and this particularly impacts on low income earners seeking  labour market participation.
In addition parental leave is among the worst in the developed world.  Ireland is ranked 14th out of 41 nations surveyed in a 2020 Unicef report when it comes to accessibility of childcare options. Childcare in DLR is expensive and inadequate.
DLR Chamber is seeking DLR Budget 2023 to increase investment in services and infrastructure that enable childcare providers to expand places for children under the age of three.

In Conclusion – take a holistic approach to Housing and also reduce LPT by 15%.
A holistic approach to Housing in DLR must be taken, in terms of planning, affordability and issues such as childcare, as well as increasing revenues coming down the line from 2013 net widening, the cancellation of Equalisation and the growth in new builds in 2022 and in 2023 resulting in more revenues for DLR County Council.
BUT this holistic approach must not impinge on current citizens of this county who already pay the highest rates of LPT in Ireland, as well as a growing inflation rate.
And we do recognise that this may impact on extra services – short term – until the sold supply goes into the net of LPT.
Nevertheless  DLR County Chamber conclude that within this holistic approach, that LPT should be reduced by the full 15% margin.

Issued by DLR Chamber CEO and Board

16th September 2022