LAST UPDATE | 18 Jul 2025

HOMEOWNERS IN DUBLIN will pay a higher rate of property tax next year as a result of a vote held this evening by Dublin City Council. 

Councillors voted to remove a 15% discount on the tax for the first time in over a decade. 

The council’s ruling group, comprising Fine Gael, Fianna Fáil, Labour and the Green Party, agreed after last year’s local elections to apply the baseline rate with no discount this year for the first time. 

The Local Property Tax (LPT) was introduced in 2013 – at the behest of the Troika - and councillors have the power to reduce or increase it by 15% either side of the baseline level; they has consistently voted to keep a reduced rate in recent years. 

Dublin City Council management has long argued that the vast majority of homeowners would not be hit with substantial additional charges if councillors agreed to reduce the discount applied.

According to the council, the decision to lift the discount now is expected to bring in up to €16.4m in extra funding for the city, which will be allocated to areas such as improving the council’s housing stock, tackling dereliction and improving footpaths. 

The cost of property tax is based on the value of a person’s home. 

Dublin City Council said 75% of eligible households will see an increase of between €18 and €83 per year in their property tax as a result of the vote passing, with the remaining 25% set to pay €523 or higher annually.

For example, those with a home worth between €240,001 and €315,000 will pay €235 from next year, an annual increase of €43.75. 

Homeowners with a property valued between €420,001 and €525,000 will pay €428 in property tax, an increase of €83.75. 

Figures released last month revealed that the average price of a second-hand home in Dublin is now €600,047. Anyone who owns a home worth that amount will see their property tax rise to €523 a year. 

Houses worth between €1,050,001 and €1,155,000 will have a property tax charge of €998, up €194.75 annually. 

For anyone with a house valued at between €1,995,001 and €2,100,000, annual property tax will cost €3,110. 

You can find a full list of the property bands and how much each will pay here. 

“The additional revenue raised by ending the LPT tax cut will go towards improving every aspect of Dublin, from the quality of the footpaths and roads, to the quality of the homes that people are living in,” Green Party group leader Janet Horner said.

“No one should be living in damp, mouldy or cold conditions in our Council housing and the revenue we are raising here takes a meaningful step to end that injustice,” the north inner city councillor said. 

Fine Gael group leader Colm O’Rourke said communities across Dublin have consistently and repeatedly called for improvements in a range of local services, “and it’s time those calls were properly answered”.

“These aren’t minor issues, they go to the heart of safety, accessibility and local pride. This investment is about listening to residents and delivering meaningful improvements that strengthen communities right across the city,” the Cabra-Glasnevin councillor said. 

Property tax for 2026 is owed on 1 November. The government changed property tax bands earlier this year to moderate the increase in the amount of tax payable as a result of increasing house prices.

A possible left-leaning ruling coalition on Dublin City council last year including Sinn Féin fell apart over the question of property tax. Sinn Féin wanted to continue to apply the 15% property tax discount.

Vote

At this evening’s council meeting, Sinn Féin councillor Daithí Doolan said the tax is “unfair” and that “political parties are out of touch with reality”.

He called on councillors to “use their limited power” to relieve pressure on households and to cut the local property tax to 15%.

Party colleague Kourtney Kenny said the money could be collected instead via a hotel or tourism tax.

Councillor Pat Dunne from the Independent Group also sought for the tax to be reduced and pointed to the cost of living.

“The cost of everything has gone up, so why should we add another burden to that, particularly when the government has billions in its coffers,” said Dunne.

He added that the local property tax is “flawed” and “doesn’t take into account ability to pay”.

People Before Profit’s Conor Reddy also called for a reduction and said his party has always been against the tax, which he described as an “austerity tax”.

“This €16 million is a drop in the ocean and this won’t change how this council works,” he added.

But Green Party councillor Micheal Pidgeon remarked that previous councils have refused to increase the local propery tax “while pleading poverty” and that there was a need to have an “honest conversation” around tax in general.

✅ Pledge fulfilled

Prior to the election, we pledged to fund public services and end Dublin city's bizarre local property tax cut.

We've done that tonight, raising €65m+ for fixing roads, tackling dereliction, insulating homes, and new zebra crossings. pic.twitter.com/dNfLWyBbcx

— Michael Pidgeon (@Pidge) July 18, 2025

Fianna Fáil’s Daryl Barron said the increase will be a “game changer” and will help “clean up the city”.

“We need to show government we are serious in this chamber and this city means business and it’s time to make hard decisions now more than ever,” said Barron. 

Labour’s Darragh Moriarty described it as a “very progressive package” and said 75% of households will face a “moderate ask” of between €18 and €83 per year.

Meanwhile, Fine Gael councillor and Dublin Lord Mayor Ray McAdam said Dubliners want a safer city and that by increasing the local property tax, it will help alleviate issues in the city.

He added that the decision is “consistent with Fine Gael values”.