Hogan calls for bed tax on refugee accommodation providers

Athlone councillor Paul Hogan has called for the introduction of a bed tax on providers of accommodation to asylum seekers and people fleeing the war in Ukraine, saying money that would be generated from such a charge could be ringfenced for use by local councils.

The Independent Ireland representative raised the issue in a motion at this month's meeting of the Athlone Moate Municipal District.

He asked the local district to "prepare a financial report to consider the application and potential yield from a local charge on the providers of accommodation under the International Protection Applicant (IPA) Beneficiaries of Temporary Protection (BOTP) schemes".

Cllr Hogan likened the potential charge to the 'city tax' which is paid by tourists staying in certain cities around the world, and which sees the money being funnelled back into local municipal services.

In response, council management said, "These matters are handled by the Department of Children, Equality, Disability, Integration and Youth. The Council will be directed by national policy in this regard.

"There is no powers or mechanism available to the local authority for collection of such a charge at this time."

Cllr Hogan noted the response but said he didn't necessarily agree with it. He said he had been looking into the matter, and he believed there was a provision in legislation that would allow for his proposed tax "if there was the political will" to roll it out.

"We all know the figures, from national media, in terms of what's being spent by the Department on private companies, essentially, rolling out accommodation for IPAs and BOTPs," he said. He said there were just over 2,500 bed spaces associated with the two schemes in Athlone.

"If you were to implement a €1 per day tax, per bed, it would yield €914,000, which would be the equivalent of between 1% and 2% of the overall yield of these private companies in the town," he stated.

Cllr Hogan acknowledged that the Government had a Community Recognition Fund in place for areas where new arrivals are based, but he said his proposal would raise additional funds from "private companies that have made huge amounts of money" by providing accommodation.

Athlone's Mayor, Cllr Frankie Keena, agreed that the issue "warrants further investigation", and said he would like to see that process get underway.

Cllr Aengus O'Rourke also felt it was a proposal worth considering at national level.

"Here is a source of income that could be generated and 'ringfenced' in order to enhance local services and facilities. Whether it's within our remit, or within our powers, to do is another matter, but certainly it's something the State should be examining," he said.

The potential to raise "significant" money for the council was there, said Cllr John Dolan. "If you don't ask the question, you don't get an answer, so fair play to (Cllr Hogan) for bringing it up," he said.

The discussion concluded with Cllr Hogan saying the numbers he had cited had been obtained through multiple questions to the Department of Finance.

"They are real figures, but what we're missing is the mechanism by which local authorities can apply this charge," he said. "There's a huge amount of money rolling around. Local government, in my opinion, isn't getting its fair share of it.

"A mechanism such as this would bring in a new yield of money for local authorities who are very much cash-strapped, as we know, in terms of community facilities."

It was agreed that the Athlone Moate District would write to the Department of Children, Equality, Disability, Integration and Youth in relation to the matter.