Energy pressures and €25.8m roads boost dominate finance report

Rising energy costs, strong revenue collection rates and a combined €25.8 million in regional, local and national road funding were among the key issues highlighted in the latest Finance Committee report to Westmeath County Council.

The report, prepared for the February 23 meeting by director of finance Michael Hand, outlined the 2025 outturn position, 2026 revenue projections and a substantial programme of government grant allocations for housing, heritage, regeneration and infrastructure.

Energy expenditure for 2025 reached approximately €2.5m, compared to €1.84m in 2019, an increase of about €660,000 or 36% on pre-pandemic and pre-war levels.

While the trend in energy pricing has stabilised, councillors were warned that geopolitical instability in the Middle East and Europe could yet affect costs.

Under a new metered electricity contract running to December 2028, prices are estimated to decrease by just over 7% this year.

Unmetered electricity, under contract until October 2027, saw a 28% increase compared to the previous arrangement, although 2026 prices are expected to align with 2025 levels.

The council has revealed it is also examining the potential introduction of hydrotreated vegetable oil into its bulk fuel supply, though that may increase costs as it is not currently covered under national framework agreements.

New photovoltaic panels have been installed at the Athlone civic offices.

Commercial rates income for 2026 has been budgeted at €20.53m, and demands were issued in early January.

The council has notified ratepayers that interest of 8% per annum will apply to outstanding commercial rates balances from January 1, 2026.

A 15% rates grant is to again apply in 2026, capped at €825, and limited to bills not exceeding €5,500.

All 121 rates appeals arising from the recent revaluation process have now concluded, resulting in an annual loss of approximately €487,400 in rates income.

The report highlights continued strong performance in revenue collection during 2025. Rates collection stood at 96.74%; rents collection at 96.66%, while housing loans collection exceeded 100% at 101.61%.

Targets for 2026 have been set at 96% for rates, 97% for rents and 100% for loans.

Rental income from the council’s housing stock totalled €10.23m in 2025, €230,000 above budget.

Planning fee income also exceeded expectations, while paid parking income was marginally below target, largely due to a drop in parking fine income.

Housing grants expenditure rose significantly to €2.85m in 2025, compared to €1.99m in 2024, requiring a council contribution of €483,829.

Roads

The Department of Transport has allocated €14.9m to Westmeath for regional and local roads in 2026. Among the schemes listed are flood alleviation works on the Galway Road in Athlone, storm water works in Tyrrellspass, and a range of bridge rehabilitation projects across the county.

In addition, €10.93m has been allocated for national roads. This includes €6m for the N4 Mullingar to Longford project and €4.26m in capital protection and renewal funding, covering works on routes including the N52, N55 and N4. A further €672,855 has been allocated for current maintenance.

The Local Improvement Scheme allocation for 2025 has risen to €961,675 following supplementary funding, supporting works on non-public rural roads.

Regeneration and heritage

Under the Rural Regeneration and Development Fund, €1.78m has been approved in principle for two major projects; €780,000 for the Moate Town Enhancement Project and €1m for the Delvin Regeneration Project, which includes acquisition and reuse of a vacant protected structure as a community enterprise hub.

The Town and Village Renewal Scheme will see €812,300 invested in Ballynacargy, Moate and Raharney, while €470,705 has been approved under CLÁR Measure 1 for nine community and sporting projects.

Indicative funding of €286,839 has been confirmed under the Built Heritage Investment Scheme and Historic Thatched Buildings stream for 2026, supporting projects in Moate, Athlone, Mullingar and Ballynacargy.

Westmeath has also secured €43,361 under the World Heritage Strategic Investment Fund for works at the Hill of Uisneach.

A new Nature-based Solutions fund is expected to provide around €100,000 per local authority in 2026 for urban rainwater management and water quality projects, and an expression of interest has been submitted.

The council has also applied under the Capital Grant Funding Scheme for Play and Recreation 2026 and the Community Monuments Fund.

The government has approved the continuation and expansion of the Vacant Property Refurbishment Grant to 2030, including the introduction of a Vacant Above the Shop Grant of up to €140,000 where commercial use continues at ground floor level.

Additional expert advice grants of up to €5,000 will also be available, with extended supports for full conversion of former commercial buildings into multiple residential units.

Members were advised that the 2024 Annual Financial Statement received an unqualified audit opinion. The Audit Committee has considered the accounts and incorporated key recommendations into its annual action plan.