Tipperary councillors approve 2026 budget after tense meeting and rate rise dispute

Tipperary County Council has adopted its budget for 2026 following a reconvened and highly fractious meeting at the civic offices in Nenagh, where councillors clashed repeatedly over the handling of the process and the pressures facing local businesses.

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Council management had sought a 5 per cent rise in commercial rates for the coming year and warned that cuts to services would be unavoidable without the increase.

Fianna Fáil councillor Michael Smith put forward an amendment proposing that the early payment incentive be raised from 6 per cent to 7 per cent.

The amendment passed by 24 votes to 14, with councillors Mary Hanna Hourigan and Marie Murphy, both Fine Gael, absent from the vote.

The measure allows ratepayers with bills of up to €29,000 to receive a discount worth up to €700 if the full amount is paid by July 31.

From January 1, 2026, unpaid rates from 2025 will incur interest at 8 per cent. Council officials reminded businesses that payments will always be applied to the longest outstanding bill.

Management also cautioned that with 94 per cent of appeals now completed under the 2019 Revaluation Process, the total commercial valuation base has dropped by €7,704,160, which will hit the council’s rates revenue.

The meeting agreed to continue the Rates Abatement Scheme on the same terms as 2025 because the required public consultation had not taken place.

Under the scheme, vacant properties with bills under €5,000 receive a full reduction, those between €5,000 and €10,000 qualify for an 80 per cent reduction and bills above €10,000 receive a 60 per cent reduction. The scheme generated close to €102,000 in 2024.

Sinn Féin members argued that larger rate holders should contribute more in order to raise revenue and address long term vacancy. A working group will develop proposals for the November 2026 budget meeting.

Tensions mounted throughout the session, with several councillors characterising the budget process and the chairing of the meeting as farcical.

Heated exchanges broke out between councillors and CEO Sinead Carr, who stressed that members had a responsibility to pass a budget and could not reject every proposal without putting forward workable alternatives.

A sound failure interrupted the meeting at this stage and the vote on the amendment took place once the connection was restored.

Independent councillor Seamie Morris was among the strongest critics of both the budget and the procedure by which it was adopted. He argued that councillors had been presented with no meaningful alternatives and that the budget had effectively been forced upon them. He warned that a repeat of this situation next year would be unacceptable.

Councillor Seamus Morris also said, “I have to say I am long time in politics, since 2004 and I have never seen anything at all like this before.” He continued, “This is a particularly sour week for me when my own brother’s business had to close the Hibernian Inn due to rising costs of doing business, a man 70 years of age with Parkinson's employing 25 people now all forced to go on the dole, he won’t be the last pub in Nenagh to close unfortunately.”

He added, “Fianna Fail and Fine Gael should hang their heads in shame with the lack of local government funding that is coming to councils up and down the country.”

Calling for a broader national conversation, Councillor Morris said there must be a debate in the new year on the future of local government funding. “Lets have a proper discussion about it. I propose that we reject any rates increase on our businesses.”

He also warned that this could become a pattern in future budgets, with businesses increasingly forced to shoulder rising costs.

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