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Big tax increases should require a compelling justification

Tax hikes should not be the default response to budgetary pressure

Letters to the Editor. Illustration: Paul Scott
The Irish Times - Letters to the Editor.

Sir, – Your report on Monday’s local property tax (LPT) decision by Dún Laoghaire-Rathdown County Council (“No property tax changes for Dún Laoghaire-Rathdown and Fingal homeowners”, Dublin, October 12th) quoted the chief executive’s warning that retaining the full 15 per cent reduction, at a cost of €10.4 million, will “inevitably lead to [a] reduction in services”. That claim deserves scrutiny.

Last year’s national revaluation increased the council’s LPT intake by €10.85 million annually from 2026 onwards, more than the cost of the discount. The council’s 2026 budget, meanwhile, grew by 12 per cent to €313.7 million, following an increase of more than 50 per cent over the previous council term.

It is difficult to reconcile budget growth on that scale with the claim that services can only be protected by asking homeowners to pay even more, again.

The 7.5 per cent reduction recommended by the executive, and supported by Labour and the Social Democrats, would have increased LPT bills by 8.8 per cent, while the Green Party proposal would have increased them by 17.6 per cent. I voted with the 27-12 majority to avoid tax hikes.

It is all too easy for politicians and officials to spend the public’s money, but every euro spent must ultimately be paid for by someone. Local services matter, but so does responsible stewardship of public money, and big tax increases should require a compelling justification, not be the default response to budgetary pressure. – Yours, etc,

EOIN O’DRISCOLL,

Fine Gael councillor,

Stillorgan,

Dún Laoghaire-Rathdown County Council.