Barry Cowen (Offaly, Fianna Fail) | Oireachtas source

I thank the witnesses for making themselves available and for responding to this judgment by the CSO. Like others, I acknowledge and welcome the work the housing associations do and there is an undoubted role for them to play in the State's provision of housing. Many would argue, myself included, that there has been an over-reliance on the AHB sector by the State in the provision of social housing. I am also conscious of the restriction applying to AHBs whereby tenants do not have the opportunity to purchase their home at any time, which has to be addressed. It is an aspiration that everybody should share. Tenants should have the opportunity to turn their houses into homes and to be able to live out their lives in the communities where they were lucky enough to be afforded that opportunity. This has resulted in an unfortunate unintended consequence. There has been a diminution of experience and expertise in some local authorities in the provision of social housing. The CSO judgment is a significant blow to Government policy given it has placed many of its eggs in the AHB basket. The recommendation will reduce the Government allocation towards social housing delivery by perhaps up to 30%, at a time we are 30% behind the amount allocated by the State to social housing provision in 2008. I challenge the Government to respond to that.

This issue also highlights the failure of the Government to be bold in seeking the funding necessary for the provision of social and affordable housing. I have advocated on many occasions in this forum and many others for the need to put in place a funding vehicle model or construct that would circumvent EUROSTAT rules. There are willing and able contributors to meet the 51% private funding requirement needed to do that. Credit union representatives will appear before the committee later. They have €8 billion on deposit and the rules pertaining to how they can put that to work are stifling their ability to survive. As they did in the past, they can assist communities and the State. That funding should be put to work in the way they want and their communities want. The return they get on that money does not allow them to become a viable option in the future.

I have no objection to challenging the recommendation. I do not know if that will serve those who are in the midst of this crisis in the short term well. Those on waiting lists cannot wait. The CSO got it wrong previously in respect of water charges but I do not want to go over that ground. Because of that, the AHBs and housing associations should be afforded the right to challenge the recommendation or to have those who have the power to do so to insist on that. This should not be a waiting game. Investors, other than those I have mentioned, including private pension funds and Irish-based funds that want to invest in our economy and our future, are willing to get involved and it will just take the will, urgency and cojones of Government to do the right thing and to overhaul the way everything is done to address this emergency the way it should be addressed.