Darragh O'Brien (Dublin Fingal, Fianna Fail)
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Gabhaim buíochas leis an gcoiste as an obair atá déanta. Caithfidh mé a rá go bhfuil ár bplean ag obair. Níl gach duine á mothú go fóill but thógamar 30,000 teach nua anuraidh, sa chéad bhliain dár bplean. B'shin 5,000 níos mó ná ár sprioc. Anuraidh, thógamar níos mó tithe sóisialta ná mar a tógadh le 50 bliain. Tá tithe le praghas réasúnta le ceannach den chéad uair le 15 bliain. Den chéad uair riamh tá tithe á ligean ar chíos ar phraghas réasúnta tríd an cost-rental scheme. Fuair níos mó ná 25,000 ceannaitheoirí morgáistí anuraidh freisin. Tá Tithíocht do Chách ag obair ar son ár ndaoine. Tá an deontas folúntais Croí Cónaithe curtha i bhfeidhm againn chun cabhrú le daoine tithe a thabhairt ar ais in úsáid. Tá níos mó ná 1,500 iarratas ann cheana féin agus tá an first homes scheme curtha i bhfeidhm freisin le níos mó ná 1,300 iarratais ceadaithe cheana féin. Is fíor-chabhair do dhaoine na scéimeanna seo chun a tithe féin a cheannach. Déanfaimid gach rud is féidir linn chun tithe a sholáthar dóibh siúd nach bhfuil tithe acu ar chor ar bith.

I thank the committee for the invitation to speak and especially for the work it has done over the period of these hearings. I welcome the opportunity to update the committee on the progress made since the publication of Housing for All in September 2021. The Cathaoirleach has already introduced my colleagues, the Ministers of State, Deputies O'Donnell and Noonan, and my officials, whom the committee met last week when they had a productive session.

Our plan examines and transforms practically every aspect of our housing system and is tackling problems that have festered for years. We delivered almost 30,000 new homes last year, the highest number of new homes in this country in well over a decade and, importantly, 5,000 more than the target we had set.

We have undertaken the most substantial review of our planning system since the legislation was enacted more than 20 years ago in an effort to streamline the process, improve clarity and make it more consistent for all. We have introduced the first affordable homes in a decade, underpinned by the Affordable Housing Act 2021. We have delivered more new-build social homes than in any year for almost five decades. We know there has been a trend of declining home ownership for a number of decades, especially among young people, and we have undertaken every possible effort to reverse this trend. Thankfully, last year we saw more first-time buyers buy their own homes than in any year since 2007. One in two new-build homes being bought is being bought by first-time buyers. This is tangible progress and we have to remember these are real people buying real homes and taking their stake in society.

Our affordability measures have been life-changing for many first-time buyers, particularly the first home scheme. Just short of 1,400 households in 24 counties have been approved and have received their eligibility certificates allowing them to buy their chosen home. Some 82% of live approvals have been for buyers in areas where affordability challenges are most acute, namely, Dublin, Cork, Kildare, Meath and Wicklow. More than 3,500 potential buyers have registered interest in the scheme and that figure is increasing every week. We have extended the help-to-buy grant and enhanced the local authority home loan, increasing house price limits from March this year and opening the loan up to more people. We have launched numerous other schemes to stimulate affordable supply, such as Project Tosaigh through the Land Development Agency, LDA, and the Croí Cónaithe cities scheme, on which I may give members more detail later in the hearing. These schemes are working. Last year, we delivered almost 1,800 affordable homes through the first home scheme, affordable purchase and cost rental. While that is below our target, it represents a significant footprint and is up from effectively zero in the previous year.

We know there are big issues with the rental market and it is not working for tenants or landlords. My Department has commenced a comprehensive review of the private rental sector to take account of the significant regulatory changes of recent years. We have also introduced a wide range of protections for tenants, such as restricted deposit amounts, extended notice periods, tenancies of unlimited duration and lower rent increase caps. The introduction of cost rental for the first time in Ireland is key to transforming our rental market and over 680 cost-rental homes were delivered last year. More than 1,000 have been approved already and we want to do more, hence the announcements we made today, which we can go into during the meeting.

Last year saw the highest annual output of social homes in decades and the highest level of new-build social homes in almost half a century. Some 10,263 social homes were delivered through local authority or AHB build, acquisition or leasing. This represents an increase of nearly 12% on 2021 figures. Of the more than 10,000 social homes delivered, 7,433 were new-build, an increase of 43% on the previous year. The almost doubling of new-build social homes is a testament to how Housing for All is having a tangible positive effect for tens of thousands of people, particularly our most vulnerable.

More than €200 million has been allocated to tackling homelessness this year, and our Housing First programme is proving to be one of the most successful at tackling rough sleeping in the history of the State. The programme was expanded at the end of 2022 and a total of 804 individuals have so far been supported through Housing First, with a tenancy retention rate of nearly 90%. We are introducing measures to prevent new entries into homelessness. These include the expansion of the first home and tenant in situschemes, as well as the development of a cost-rental tenant in situscheme, which has been up and running since 1 April. A legislative first right of refusal for existing tenants is being progressed and we will endeavour to have that through in this session of the Oireachtas.

Tackling vacancy and maximising our existing stock is one of the quickest and most carbon-efficient methods of adding new supply. In January last, we launched our new vacant homes action plan and details of the €150 million urban regeneration and development fund for tackling vacancy through our local authorities. The action plan includes the roll-out of a data collection project across all local authorities to capture accurate vacancy data and support the full-time role of vacant homes officers, which is now a full-time position in 30 of the 31 local authorities. This self-sustaining €150 million fund will see a call for proposals from local authorities for funding to acquire vacant or derelict properties or sites in their area. The new vacant property refurbishment grant was launched and will be expanded to include homes which can be rented to private tenants. Earlier today, we increased the grant levels for vacant properties from €30,000 to €50,000 and for derelict properties from €50,000 to €70,000. Those grant increases will also apply to those whose application is in hand and who have not drawn down the grant so far.

Despite the progress being made, new challenges have emerged and existing issues worsened in the past year. We have had to respond to Russia’s invasion of Ukraine, increased energy prices, rising interest rates and rising construction costs. In the 12 months since February 2022, wholesale prices for construction products have increased by nearly 15%. We knew, however, that we would have to respond to challenges as they arose, which is why we built the review mechanism into Housing for All. The updated action plan was published on 2 November and sets out how the Government is responding to these emerging issues. Thirty-three priority actions were identified in the review, which will expedite the delivery of housing supply while continuing to deliver on the fundamental reforms set out in the plan. Over recent months, the Government has agreed additional measures to prevent homelessness, which demonstrates the agility we have in addressing issues as they arise. My officials attended the committee last week and I want to note that any concerns raised are being considered by the Department. Although there is no question that much has been done, we know there is still much more to do.

Looking to the future, 2023 will see my Department, with cross-government support, advance recommendations from two recent studies, a cost of finance study and cost of construction analysis. It will see a second call under Croí Cónaithe cities to support the construction of apartments in urban areas for purchase, as well as the extension of phase 1 and launch of phase 2 of Project Tosaigh to support the activation of stalled private developments. Now that many of our affordability schemes have bedded in, we will see more affordable homes go to people who need them more than ever before. We will continue to deliver record levels of social housing and do everything to ensure we provide well-built, sustainable housing for all. I am happy to answer any questions members have.