Mr. John O'Connor:

I thank the Senator for her questions. On her point about the national shared equity scheme, controls are important. The Department is still working on the details and has to finalise them. If a household can afford to buy a house on the market within the macroprudential rules, it cannot avail of the shared equity loan. That is the first point and it is an important control measure. The fact that purchasers will have a secondary shared equity element means they will be careful about what they are buying. The Housing Agency is working with the Department to identify what are the risks, what happened with similar schemes in the UK, including Scotland, and what control measures can be put in place.

Affordability is very important when it comes to cost rental. The rents about which we have been speaking to date have been of the order of €900 per month, up to €1,200 per month. We need, over time, to get those rents down as much as possible. Specific supports can be provided to households whose income changes or falls significantly. People who become eligible for social housing can avail of the HAP and remain in their accommodation. That is specifically provided for in the proposed Bill. It is important that such households in rental housing are protected.

It is important that we control the costs. The management, maintenance and other overhead costs are as significant as the costs of providing cost rental homes. It is important that we push rents down as much as possible. We should be focused on what is affordable for households as opposed to talking about the levels of market rents. We need to make it affordable and give long-term consistency of payments.

Ms Perry may wish to add something on the cost rental side.