Dr. Kieran McQuinn:

Regarding social housing, we have not identified how much it would cost, but the bottom line is obviously that to address the issue adequately would require a huge amount of money, which, ultimately, as far as the fiscal position and the budgetary position are concerned, could not be sustained on a one-year base. A multi-annual response is required. I have seen people produce estimates of how much it would cost to produce a unit of social housing. One can even go back to the figures we quoted from 2010-11, for example, when I think the social housing output at the level of approximately €1.5 billion was in the region of 3,000 units. One gets a rough, back-of-the-envelope estimate there. Unfortunately, the trick is, as I said, that a multi-annual response that must live within the parameters of the fiscal rules is required.

That is why we have suggested saying something along the lines that we think most, if not all, the fiscal space should go in that direction.

The Deputy asked about possible rates in the context of site tax. The 3% figure seems a little low and, as I mentioned, one would need to stagger rates and particularly have much higher rates on land that is clearly well serviced, ready to go and has all the adequate levels of infrastructure associated with that. I could not give a figure for the rate but 3% seems on the low end of the spectrum as far as that is concerned. I would foresee a staggered rate depending on the nature of the land concerned.

With the help-to-buy scheme, the basic issue identified by everybody is that we need more housing supply. It was argued the scheme could facilitate greater levels of supply because it would make housing more profitable, essentially, in the building period. When supply is relatively fixed, as it is now, unfortunately when one stimulates demand - that is ultimately what happens with the scheme - the prices are shoved up. Ultimately, that is what is likely to happen with such a scheme. We have not analysed the scheme but I have seen some reports suggesting that it has not pushed up house prices. Looking at the scheme in general, the basic aim is undoubtedly to generate greater levels of affordability and, ultimately, that leads to greater levels of demand and higher house prices when supply is fixed.