2% Vat increase likely to cost Dublin Local Authorities estimated €8 million in 2012
The Government’s decision to increase the standard rate of Vat by 2% in last December’s budget will cost Fingal County Council circa €2 million in 2012, according to Dublin West Fianna Fáil Councillor David McGuinness. The figures were broken down from a Dáil reply to Deputy Michael McGrath.
McGuinness estimates that the cumulative impact of the Vat increase across the Dublin local authorities of Fingal, Dublin City, South Dublin and Dun Laoghaire/Rathdown County Councils could exceed €8m in 2012.
“This hidden cut will inevitably affect the level of service being delivered to the general public in Dublin. The estimated €8m cost to the councils arising from the Vat increase is additional to the cuts in the local government fund of a further 10% announced in the budget and passed during council-2012 budget meetings. This will mean less money will be available for essential community services.
Based on the Dublin regional Councils’ relative sizes, the overall additional cost to local authorities around the country would exceed €20m.
McGuinness believes “that frontloading the Vat increase entirely into 2012 was a mistake. It will have a detrimental impact on businesses in the Blanchardstown Shopping Centre and other Dublin 15 businesses: the same businesses that local authorities are relying on to supplement the government’s drastic cuts to the local government fund. The impact of the Vat increase in 2012 will have a far greater impact than has been acknowledged by Government to date.”
My name is David Mc Guinness and I am delighted to welcome you to my website. I hope you find my website useful.
I was born and raised in Mulhuddart. I went to school locally in St. Patrick’s Junior and Senior National Schools before going on to Riversdale Community College. I graduated from Trinity College Dublin with an Honours Bachelor Degree in Music Education and History.