Fianna Fáil has slammed what it has described as 'fake outrage' by Labour Councillors in Dublin over a major u-turn on the property tax.

The Government had announced that 80% of the tax would be spent by local councils on local services next year.

However, the Government now says it will keep control over how €160m in property taxes from Dublin households alone will be spent in 2014.

South Dublin County Councillors supported a motion demanding the local authority keep control over 80% of the tax next year, but the motion came from the Labour Mayor Dermot Looney.

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Fianna Fáil Leader on the Council John Lahart has described the situation as 'regrettable'.

He said: "The Property Tax was called the Local Property Tax for good reasons – we were told it was intended to be spent on local services. Phil Hogan told us that. No one put a gun to Phil Hogan's head when he said that 80% of the tax would return to each county.

"The facts of the matter are this – the government's decision means householders in South Dublin are going to miss out on over €6m of their own money being spent on their own county – that's a lot of social housing; roads projects; tree planting; footpath repair; litter-picking; graffiti cleansing; community and sports facilities; that €6m is going to other counties now. The government lied and Labour are standing by while Fine Gael sells Dublin out."

(CD/JP)