Cork County Council paid €655,000 tax on undeveloped housing land in 2025

The liability covered 11 residentially zoned sites, including lands in Kinsale, Carrigaline and the planned Water-Rock expansion in Midleton

The Water-Rock area Midleton, East Cork, one of the areas where Cork County Council ended up having to pay Residential Zoned Land Tax levied on sites earmarked for housing that had yet to be developed. File picture 

Cork County Council paid €655,000 in Residential Zoned Land Tax last year on council-owned sites earmarked for housing that had yet to be developed.

Figures released to the Irish Examiner under the Freedom of Information Act show the liability arose from 11 residentially zoned sites in the local authority’s ownership.

Under the Residential Zoned Land Tax, owners of unoccupied lands that are zoned for residential development are required to pay a sum equivalent to 3% of the site’s market value.

Introduced in 2021 to encourage the development of residential land, the tax applies to local authorities as well as private landowners, and does not provide a specific exemption for councils.

The most valuable site on Cork County Council’s tax bill was in Cammogue, Kinsale. The council paid €160,000 in tax on the land in 2025.

Other significant liabilities included a combined €150,000 for two sites in Kilnagleary, Carrigaline, and €120,000 for lands in Water-Rock, Midleton.

The Water-Rock development is intended to accommodate around 6,000 people and has been identified as one of Co Cork’s five major urban expansion zones.

The project is to be delivered in three phases and will include three schools, a neighbourhood centre, a railway station, and parks.

In July, developer Sean Walsh was granted planning permission for the development of 450 homes on the site.

The council’s site at Porters Lane in Youghal was initially meant to have six social homes but has since become the subject of local opposition.

A tender process valued at €250,000 to lay the groundwork for the site’s redevelopment previously failed and it continues to sit unused.

Social Democrats TD and former county councillor Liam Quaide said the figures were “extremely concerning” in the midst of an “acute housing shortage”.

“There may be legitimate planning, infrastructure, or funding obstacles preventing development, outside the council’s control,” he told the Irish Examiner.

“Central Government has a responsibility to ensure local authorities have the resources needed to deliver housing.”

He added: “The council needs to explain which sites are involved, what is holding up their development, and when they can realistically be brought into use.

“We cannot afford to have publicly owned land lying idle indefinitely while substantial sums are being paid in tax.”

Cork County Council did not respond to queries from the Irish Examiner at the time of writing.