Oireachtas Joint and Select Committees
Tuesday, 24 November 2015
Joint Oireachtas Committee on Environment, Culture and the Gaeltacht
Review of Estimates for Public Services 2015
Vote 34 - Department of the Environment, Community and Local Government
2:15 pm
Alan Kelly (Tipperary North, Labour)
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We are maximising the spend. We have provided funding to literally fill the void. We have used it to turn around more voids which means that we have supplemented one for the other, which is a good and quick way to deal with the matter. The Deputy has spoken about voids on numerous occasions and I am glad to say we have increased their output. There is an extra spend in dealing with the problem of homelessness, of which I am sure the Deputy will approve. We are very confident that there will be very little that will remain unspent, if any, in the housing capital budget because we have concentrated on the issue quite a bit.
I will outline some housing statistics and information because many Deputies and Senators will have questions on the topic. In 2014, the number of new building acquisitions was 285 units. This is the first year of the strategy and we will triple the figure to about 950 units. The Deputy specifically wanted to know the number of builds that would be generated under the strategy. There will be in excess of 200, but the figure will increase on a yearly basis. In the first year of the strategy we have approved local authority building projects and voluntary housing investments to the tune of about €500 million to provide some 3,000 units. Further approvals will be finalised in the weeks ahead. It makes more sense to buy rather than to build in some parts of the country because there is excess housing stock and it represents better value.
We have made major progress in the roll-out of the HAP scheme, with over 5,000 households being supported across 18 local authorities. As the scheme is rolled out and more people avail of it, there will be even greater success.
I mentioned leasing in substitution for voids. We have done a huge amount of work on voids and there is more to be done. Last year we turned around 2,300 voids and expect to turn around 2,500 by the end of the year. I have met many local authorities, particularly those in Dublin. I wish to make it clear that whatever funding is required to turn around voids to provide social housing units as quickly as possible will be provided. The Minister of State, Deputy Paudie Coffey, and I both believe such an initiative is the quickest way to provide housing.
We have taken a number of other measures to increase supply. A package of measures to deal with supply in the rental sector has been announced in the past couple of weeks. We have also provided a substantial amount of extra funding to tackle the problem of homelessness.
The Deputy asked whether local authorities used their own resources.
It is estimated that €119 million is being used by local authorities from their own resources.
The Deputy has asked about other areas in which there has been an underspend. We expect an underspend under the Leader programme because of the way it will kick off.
I have been asked me how much money will be required to provide housing in the years to come. The €4 billion provided for in the social housing strategy is, by and large, what will be required in coming years to address the issues of which we are all aware. I am delighted with the current amount we can project over the required number of years to address social housing issues. We have serious issues with social housing unit numbers, social housing lists and how they are defined. Next year will be the first when we will have a fully verified number for those who are actually on housing waiting lists, which will be quite helpful. We have put in place a comprehensive strategy with funding amounting to €4 billion. It is a strategy my Department is determined to fulfil and deliver for those most in need of housing.
The Deputy asked for a breakdown of the figure of €399 million. In 2015 there is €60 million for the child allowance; the capping cost is €129 million, while there is a subsidy of €211 million.
The Deputy asked me to define the term "water conservation grant". Of course, payment of the grant is not contingent on people stating a purpose for which it shall be used. Detailed information has been provided on what we believe it should be used for, whether it be for wells, water butts, desludging septic tanks or many other efficiency and environmentally friendly measures. I have noticed that a phenomenal volume of new technologies are emerging via SMEs and small companies. Such technologies will be replicated in other jurisdictions in years to come. However, what happens in the first year of the programme will need to be evaluated to see where and how the funding was spent.