Council to increase rates by 5.5%

 

Cavan County Council has this afternoon approved its 2018 budget including a 5.5% increase in commercial business rates for the year ahead.

The decision follows that of 2016 when the local authority harmonised rates across the county, resulting in an increase in costs for commercial businesses across Co Cavan, but a reduction in the rate for Cavan Town.

The increase in rates for 2018 by 5.5%, with certain amendments including an increase in discretionary funding for Municipal Districts, was proposed by Fianna Fáil and supported at a vote by the sole Sinn Féin member present, leaving the final count 7-6 in favour of adoption.

The budget was put to members as the council faces a deficit of €770,000 in the coming 12-months.

The executive outlined in the draft budget that had the Local Property Tax been increased earlier this year by the proposed 15%, it could have off-set a sum of more than €660,000 against the looming shortfall.

The Council's financial situation has been made all the more difficult by the revision of global rateable valuation, the unwinding of public service pay policies, as well as increases in costs across the board.

The 2017 Budget was balanced by relying on income from Non Principal Private Residence income, as well as landfill income and reserves.

The budget provides for a total expenditure of €61,991,752, income of more than €32,280,000 and expenditure near €23,700,000.