I thank the Deputy. He will be aware that dereliction is front and centre of what I am trying to tackle as Minister for housing. The introduction of a derelict property tax, DPT, was announced in budget 2026 and the collection of this new tax will be the responsibility of the Revenue Commissioners, as set out in action 4.1 of the Government's new national housing strategy, Delivering Homes, Building Communities. This tax will replace the derelict sites levy currently operated by the local authorities under Part III of the Derelict Sites Act 1990, whereby the levy is imposed annually on sites present on local authority derelict sites registers and is collected by the local authorities. A new DPT will be introduced, and administered and collected by the Revenue Commissioners.
It is intended to introduce legislation providing for the tax in the finance Bill of 2026 alongside a scoping exercise to identify derelict properties in each local authority area. Currently, the derelict sites levy is an annual levy of 7% of the market value of land identified on the derelict sites register of a local authority. The rate of the DPT is yet to be determined but it is envisaged that it will not be lower than the current derelict site levy, 7%. Subject to the necessary legislation being introduced in finance Bill 2026, preliminary registers will be published by local authorities in 2027. Local authorities will continue to have a role in the process as updating and maintaining their derelict sites registers will continue to remain the responsibility of the local authorities. Derelict sites levies that remain outstanding and owed to the local authorities when the new tax is introduced will remain as charges on the properties concerned.
Action 4.3 of Delivering Homes, Building Communities confirms that local authorities will increase the number of sites on the derelict sites registers and increase the enforcement and collection of unpaid levies. My Department is engaging with the local government sector on the operation of the Derelict Sites Act and the implementation of the actions related to dereliction in the national housing strategy. Delivering Homes, Building Communities includes measures in addition to the DPT to end dereliction and provide increased numbers of new homes and revitalise the communities in villages, towns and cities. In short, it is the role of the local authorities to collect the levies, and it is up to them to do so. It is not my job to do the local authorities’ job for them; it is theirs. Unfortunately, many local authorities have failed to collect the levy to date, and that is why the role has effectively been taken off them.