Limerick City and County Council has introduced a once-off Support Scheme for 2016 for ratepayers.
The scheme, which has been unanimously adopted by Elected Members, addresses arrears on 1st February for customers with an annual warrant of less than €20,000.
Figures relating to the Commercial Rates Arrears in Limerick indicate that over 80% of the arrears at the end of 2015 related to ratepayers with a rate warrant less than €20,000.
The collection rate for 2015 showed a significant improvement increasing to 71%, a 6% increase on 2014.
The arrears at the end of 2015 were €21.4 million, a reduction of €3.5m or 14% on the previous year.
The newly introduced Support Scheme features three strands for customers with an annual warrant less than €20,000:
- 4% support if arrears on 1st February cleared by July 2016 and / or by December 2016 if paid by Direct Debit
- 3% support if arrears on 1st February cleared by December 2016
- 2% support if arrears on 1st February cleared by April 2017 and / or by December 2017 if paid by Direct Debit
Sean Coughlan, Acting Head of Finance, Limerick City and County Council said, "Following requests from Elected Members during the budget process and following analysis of arrears up to the end of 2015, the Council is introducing a once-off Support Scheme for 2016 to continue the drive to reduce arrears."
"The Support Scheme also encourages the use of electronic forms of payment for rates as Direct Debit provides small businesses the ability to pay their rates over 11 equal instalments during the year. Combined with the Small and Medium Business Support Scheme for 2016, the Council continues to support this sector."
The existing Small and Medium Business Support Scheme pays a support payment of 4% to occupiers of commercial properties with a total annual commercial rate bill of up to and including €20,000 but not less than €500 in 2016.
The Council has also continued the Tourism Support Scheme, which provides a support grant payment set at 4% of the annual Rates for customers with a total annual Commercial Rates liability of in excess of €20,000.
The success of the Tourism Support Scheme during 2015 is highlighted by the Hotel category, which showed a reduction in the level of arrears of 55% or €1.37m.
For further information on Commercial Rate support schemes provided by the Council, visit www.Limerick.ie/council or email rates@limerick.ie.