Dublin city homeowners face a hike of up to one-third in their local property tax (LPT) bills next year if councillors follow through on an agreed increase in the tax rate today.
City councillors are expected to vote for the first rise in property tax rates since the charge was introduced in 2013. The change in the city rate, coupled with the upcoming national LPT revaluation, means most homeowners can expect to pay between 22 per cent and 34 per cent more in their bills next year.
Fine Gael and Fianna Fáil city councillors have consistently voted for the lowest possible annual LPT charge, but following last year’s local elections agreed to increases from 2026 to secure the support of the Green Party and Labour for a power pact on the council.
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Fine Gael and Fianna Fáil would not agree to increase the LPT in advance of last November’s election, but acceded to the increase from 2026 and for each subsequent year until the next local elections in 2029.
RM Block
LPT, which is based on the value of a property, has a base rate that can be raised or lowered by 15 per cent by councillors each year. Since the introduction of the tax in 2013, Dublin city councillors have always voted for the maximum discount. The three other Dublin local authorities also typically apply varying discounts, but outside the capital, most councils raise the charge by 15 per cent each year.
If the discount is no longer applied, Dubliners’ bills would increase by 15 per cent. However, this move coincides with a national property tax revaluation this November that comes into force next year, and will mean increased charges for each of the 20 “valuation bands”.
The last revaluation was in 2021 and properties in the capital have since increased by an average of about 20 per cent. However, to avoid large hikes in the charge, the value of properties in each band has been increased.
The first band will now extend from zero to €240,000, rather than €200,000, with other bands also increasing. This means that 96 per cent of properties will stay in their existing band, but homeowners will face increased charges.
A property valued between €420,001 to €525,000 will attract a charge of €428, up from €344.25 from this year’s equivalent, also an increase of just over 24 per cent.
However, homeowners with higher value properties can expect steeper increases. Houses which will be valued from €1,470,001 to €1,575,000 will have a €1,797 charge, up from €1,382.95, a 30 per cent increase. At the top of the scale, a homeowner in band 19 will get a bill for €3,110, an increase of more than 34 per cent.
The rate increase will provide an additional €16.4 million in funds for the council, one-third of which will go towards improving the lives of those living in council housing, said Labour councillor Darragh Moriarty, by replacing “single-glazed windows, draughty doors and measures to tackle damp and mould”.
Sinn Féin’s Daithí Doolan said his party would continue to propose the maximum cut in the charge.
“Dubliners are unfairly punished by the extremely high price of housing in the capital,” he said.
There are other changes being made to LPT across Dublin.
South Dublin County Council previously applied the full 15 per cent discount but next year will only provide a 7.5 per cent reduction from the base rate, meaning homeowners will receive higher bills.
Fingal County Council is moving from a 7.5 per cent discount to a 5 per cent discount next year. However, Dun Laoghaire Rathdown county councillors voted for the maximum 15 per cent reduction.
