LOCAL councillors have been asked to consider removing the development levy on designated lands within Limerick’s regeneration areas as part of the new five-year Development Contribution Scheme.
At a recent meeting of Limerick City and County Council’s Economic and Planning Strategic Policy Committee, Cllr Joe Leddin said that if the local authority wanted to encourage and incentivise potential business to locate within Regeneration areas then they should offer a good enough reason to do so.
“We have vast tracts of undeveloped land both on the Northside in Moyross and on the Southside in Southill,” he said.
“The regeneration project operates within social, physical and economic parameters but the economic element has failed to meet expectations in terms of job creation.
“To normalise disadvantaged communities, we need to create local employment opportunities. But charging potential investors similar development levies regardless of where they locate across the city is pointless.”
The Labour Party councillor believes Regeneration land throughout the city offers significant potential across a range of sectors from retail, warehousing, manufacturing, recreation and educational.
“A zero rate development levy may be the catalyst that will draw attention on these lands which are also strategically located and serviced in terms of connectivity and accessibility. The reality to date is that very few businesses now exist in these areas as evidenced by higher than average unemployment rates.
“By offering a zero cost contribution levy, we are suddenly increasing the possibility that these lands may reappear on the radar of investors who depending on their business model may locate or establish a presence based on competitiveness reasons.
“Funds collected from development levies are an important part of the council’s overall income stream and while an initial loss may be accrued if businesses do establish in regeneration areas this loss of income will be ameliorated by the additional rates paid and employment created locally,” he concluded.
by Alan Jacques
alan@limerickpost.ie
