Pearse Doherty (Donegal, Sinn Fein)
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While I agree with the analysis, let me play devil's advocate. While the Government would not admit to this - Fianna Fáil allowed this measure to come into being - the reality is that the scheme will push up house prices because developers claim their profit margins are not large enough to make it viable for them to start building. The Central Bank's measure is that property prices will increase by close to or in excess of double-digit figures in the next 12 months. This will increase profit margins for developers and, therefore, supply. If that were to take place, would that not deal with the issue and, at least, justify the Government's position, even though it would deny that is its agenda? The scheme will allow developers to achieve the figure of 15% because prices have gone up and, therefore, supply will start to increase in the market.