Galway City Council Faces €170,000 in Unpaid Derelict Site Levies

Galway City Council has reported that it has not collected any of the €171,850 in levies imposed on derelict properties this year. This announcement comes as the city sees a substantial increase in the number of vacant and neglected buildings, raising concerns about urban decay and its impact on the community.

Figures released this week indicate that six properties were assessed for levies in 2025, with an additional €3,500 outstanding from a previous case. A spokesperson for the Council stated, “Derelict levies were raised on six properties in 2025 totalling €171,850. There are existing levies due on one property in the amount of €3,500. No payment has been received on any of these levies to date.”

Significant Increase in Derelict Properties

The latest Derelict Sites Register, published this month, reveals a staggering rise in neglected properties, increasing from 28 to 84 in just a few months. This represents a more than threefold increase within a short period. The Council is currently reviewing an additional 129 potential sites for possible inclusion on the register, which underscores the growing issue of vacant properties in the city.

The expanded register now includes a diverse range of residential, commercial, and institutional buildings. Notable properties designated as derelict include several high-value sites, such as those on Dalysfort Road, valued at €850,000, and Glenard Avenue, valued at €750,000. Other significant properties include Letteragh Road (€500,000), Whitestrand Road (€475,000), Sandyview Drive in Riverside (€425,000), and College Road (€300,000).

Commercial landmarks, such as the former Paddy Fahy’s Bar on Bohermore and the Burren Mount Hotel in Salthill, have also been added to this list. Several dockside sites associated with Born Footwear and Narm Developments feature prominently as well.

Legal Framework and Enforcement Challenges

Under the provisions of the Derelict Sites Act 1990, the Council can impose an annual levy of 7% of a property’s market value on any building deemed neglected. Unpaid levies accrue interest at a rate of 1.25% per month, and the Council has the option to pursue recovery through the courts or compulsory purchase.

A spokesperson for the Council explained, “We normally get valuations done in the third quarter and issue Section 22 Notices up to mid-November to allow sufficient time for the property to be remediated before becoming liable for the levy.” Notably, properties that are repaired or returned to use within the same year they are listed are exempt from the charge, aiming to incentivize prompt remediation.

Despite these measures, enforcement remains a significant challenge. Some properties on the register have owners listed as ‘unknown,’ complicating recovery efforts and hindering the process of revitalizing these derelict sites.

The recent surge in listings follows the Council’s commitment to take more decisive action against long-term vacancy and neglected buildings. At the end of 2024, just 11 sites were listed, which increased to 28 by early 2025 and then surpassed 80 by October, marking the most comprehensive update on derelict properties in years.

As the situation unfolds, it coincides with a national policy shift in which the Government plans to replace the local derelict sites levy with a new national derelict property tax. This tax will be collected by the Revenue Commissioners, potentially impacting local revenue streams.

A Council spokesperson commented, “No formal notification has been received on this issue to date. On the face of it, it would appear this would be a potential loss of revenue to local authorities, but until the legislation is published, we won’t know the full impact.”

The ongoing challenges with derelict properties in Galway highlight the urgent need for effective strategies to address urban decay and promote community revitalization.