The spokesperson said: “It has been reported that LPS made errors in information it provided to some local Councils which have lead to those councils needing to repay monies to central government.
“The information referred to is data provided to councils every autumn to assist them in striking rates for the following financial year. This information is used to predict rate income up to 18 months in advance and takes into account anticipated levels of building, demolition and vacancy across some 800,000 properties in both the domestic and non-domestic sectors as well as changes in the valuation of properties and the number of properties that will not attract rate liability.
“This is a highly complex task and the information provides an estimate of what can be raised in terms of rate revenue for the council area. The figure is provided to each council to enable them to make informed decisions on the level they strike their rates to match their spending plans. LPS does not direct councils to set rates at a certain level.
“It is disappointing that some local representatives have chosen to blame LPS for this situation when, across Northern Ireland, many of the estimates provided have turned out to be within 1% of the final figures. Councils were always aware that these figures were estimates and were provided to assist them in their work.
“It has also been reported that LPS are ordering councils to pay back rates monies to the Ministry of Defence (MOD).
“The MOD has appealed the valuation of a number of its properties to the District Valuer and the majority of these appeals are ongoing. The MOD, like any other ratepayer, has the right to appeal its valuation assessment and LPS has been advising councils about the potential impact on revenue estimates if those appeals are successful for the ratepayer.
“As the majority of these appeals are ongoing, it is unknown at this stage how many will be successful. It can therefore not be predicted what the final impact will be on local authorities.
Notes to Editors:
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