Darragh O'Brien (Dublin Fingal, Fianna Fail) | Oireachtas source

I thank the deputation for the presentation. I was at the launch of the report, which I have read, as well. I thank Professor Norris and Dr. Hayden for being here. I am going to confine my comments. There is a great deal in the report. The deputation has raised serious issues about the sustainability of the current rental model. I do not believe that social housing tenants get a bad rap either, but I believe we can improve the scenario. The housing assistance payment is completely and utterly unsustainable. It will keep eating up our housing budget as it increases. We need permanent solutions. People will see in the budget this year how much additional funding will be available. Obviously, families are on HAP and we cannot simply stop the payments. The problem with aspects of Rebuilding Ireland is that 50% of those deemed housed in the targets are housed through HAP tenancies and that is not a sustainable model. The deputation is perfectly right to highlight that.

I want to focus on one element. Professor Norris has been able to say many things that some of our friends in the Gallery from local authorities would probably like to say but cannot. One aspect I intend to focus on is condensing and streamlining the approvals process. I am unsure whether the deputation looked into the cap that is set by the Department of Housing, Planning and Local Government on local authorities. They have to submit anything more than €2 million to the Custom House. That is insane. Basically, in my county, Fingal, it probably means a scheme of over eight, nine or possibly ten units has to be submitted. Anything over that will go to the Custom House, join the 59 week merry-go-round and be delayed. What is the appropriate level? Obviously, we need oversight and we do not want standards to be reduced in any way, shape or form. My view was that cap could be up to €10 million. It would let local authorities at it and allow them to build schemes of 40 to 50 units. Did the deputation get any feedback through the conversations and engagement with local authorities? If local authorities were let at it, most of them would be able to deliver more than they are delivering now. That is my firm opinion.

Another point relates to off-balance sheet model. The special purpose vehicle was approved by the Central Bank. The SPV is not in place but the credit union model of investing in social housing was given approval on 1 February this year. Does the deputation see that model operating? If we created a special purpose vehicle for investment whereby local authorities could borrow, would that meet the EUROSTAT requirements relating to off-balance sheet? Is rent going to be the problem?

The deputation is right in that the cost rental model is the only way forward. If it needs to be supplemented for some tenants by HAP in the interim, then that is fine, but we are going to have to be serious about delivering thousands more social homes. That is what I want. We also have to be serious about levels of rent and sustainability. The report is very good and I hope people will listen. I will be back, but I have to go and vote now.