Oireachtas Joint and Select Committees

Tuesday, 27 April 2021

Joint Oireachtas Committee on Housing, Planning and Local Government

General Scheme of the Affordable Housing Bill 2020: Discussion (Resumed)

Photo of John CumminsJohn Cummins (Fine Gael) | Oireachtas source

In saying what I am saying, it is important to put context on it. What we envisage is a mix of housing based on what is needed in any given area. In most cases, the State will be required to develop 100% social and affordable housing, particularly in the Dublin area, which the Minister is on record as having said. However, there may be areas in the country that have only had social housing built over the last decade. What we need to do is to ensure there is a mix in a given area, so we do not have areas which are predominately or solely private, predominately or solely affordable or solely social. It is important in the context of what I am saying is that we are seeking to achieve a mix of housing tenure in any given locality. We have to be mindful of areas in the country where there has been only one tenure type built over the last number of years.

I suspect the wording in the amendment, which includes the words "private" and "for-profit developers", has been put in there for a reason. It was put in there to create the impression that Government parties are in some way supportive of this method at the expense of the approved housing body, the housing co-op or the community housing model. That is not the case and I want to make that clear.

If we are supportive of this amendment, we may inadvertently exclude low-return funds from entering the State in order to provide affordable housing. That is a model replicated across Europe; Vienna is held up as an exemplar. The committee cannot inadvertently put blocks in place that may prevent a mixture of housing types in a given area and tie one hand behind the State's back as it tries to deliver affordable housing. That is why we cannot support this amendment. It is not because of the impression that might be given that we are in some way supportive of private development.

We need a mix in this country. We need low-return funds to provide affordable housing so it is not solely the State. We also have to be very cognisant of the fact that approved housing bodies are on the State's balance sheet. We have to be mindful that we may be in a financial squeeze over the next number of years.

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