EUKN - European Urban Knowledge Network - Tax Relief in Deprived Area

Tax Relief in Deprived Area - Dublin, Ireland

Introduction

The Irish government decided in the Urban Renewal Act of 1998 to designate specific deprived areas in cities that can profit from tax relief. Businesses and individuals can receive tax relief for reconstructing commercial buildings or residential property in the North East Inner City Integrated Area of Dublin.

Problem

How to attract new business and investment in a deprived area?

Description

The North East Inner City of Dublin is an Integrated area. The overall aim of the North East Inner City Integrated Area Plan was to: 'rejuvenate one of Dublin's most deprived areas, building on its unique character and strengths to create an area where people and families would choose to live, work and invest'.

The local authorities established a plan in 1998. The plan has adopted an holistic approach, incorporating not only physical development but also social, economic, environmental and cultural strategies.
Local participation in the North East Inner City Integrated Area plan is very important to the local authorities. A monitoring committee of eleven persons have been set up with public, business, trade union, architectural and community representatives. Informal public open days are organised to give all citizens insight in how the area is progressing.

Approach

The tax relief is available to:

an individual for the cost of constructing, converting or refurbishing his main residence;
an individual or company for the cost of constructing, converting or refurbishing rented residential property;
the tax incentives for commercial developments take the form of capital allowances - these allowances are available to companies for expenditure incurred on the construction or refurbishment of industrial and commercial buildings.

Results

10,000 square meters of office and enterprise units and 53 private apartments have been reconstructed in 2001. These buildings prove a dynamic lift to the streets in the Integrated Area.
The tax incentive site attracts new business. The area has seen a major private investment, bringing not only new offices, but also shops and private housing.
The Integrated area has besides the tax incentives other projects to make the people feel at home in their neighbourhood. The anti litter programme, the provision of a new community centre and sports complex, increase of childcare facilities, organisation of a family day and a community activity week and the parents in education programme encouraging greater involvement in the education of the children.

Learning experiences:

Developers and businesses are served by a one stop shop team of architectural, tax incentive and planning advice. The North East Inner City located the Integrated Area Plan team and the Regional Office team together. This proved to be very effective.

Contact info

North East Inner City IAP team
Phone: +3536722248
neic@dublincity.ie

Project start date

16/09/2004

Links

Dublin City Council

Document type

case

Themes

Urban Policy > Economy knowledge & employment > Urban economy

Keywords

Business support