Paschal Donohoe (Dublin Central, Fine Gael) | Oireachtas source

I will respond to the proposal made by Deputy O'Donnell. As he will be aware, the Department has conducted a thorough review of the help-to-buy scheme. I appreciate the further point he raised. My officials and I received the paper he submitted and we will, of course, give it consideration. He knows the issue we grapple with, however, in that I accept there is an issue with the so-called deadweight effect of the help-to-buy scheme. A key factor driving that is the level of the loan-to-value ratio. If there is a change in that ratio for some people who are participating in the scheme, I certainly find it difficult to see how that would not lead to further changes in the help-to-buy ratio over time, raising further questions regarding the impact the scheme is having on helping those people buy their first home. That being said, the Deputy raised an important matter. We received his paper and we will give it consideration and thought but I want to be open with him regarding a key difficulty there.

On the assertions made by Deputy Doherty, I will be clear that while the Mazars report contained many points that were critical of the help-to-buy scheme, it also stated, "There is not definitive evidence that HtB [help to buy] pushed up the price of new houses." That was the conclusion of that report on houses. I will not make the case for a second that our housing policies are yet making the necessary progress for those worried about being homeless or not being able to afford their rent. Were I to do so, I would indeed be in the kind of bubble the Deputy referred to but because I am not, I will simply say that the policies we have in place are leading to more homes being built. Our objective is to increase supply, not increase pricing. We remain clear on the impact the lack of homes is having on too many and are ever determined to strengthen and review our policies to make a difference in the time ahead.

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