Dáil debates

Wednesday, 17 December 2008

8:00 pm

Photo of Joe CostelloJoe Costello (Dublin Central, Labour)

I compliment Deputy Ciarán Lynch for tabling this motion, which is extremely relevant in terms of the times we are in and the fact we are coming close to Christmas. The opening sentence of the motion sums it up where it refers to "the huge increase in the numbers on social housing lists which have jumped from 43,700 to nearly 60,000, an increase of more than 30% in just three years". That is an increase in the social housing lists in three of the supposed best years ever in the history of the State. While the private residential construction sector was literally going through the roof, on the other side of the coin local authority housing construction was spiralling downwards. That was the contradiction of the Celtic tiger.

A huge surplus overhang of private construction, which nobody wants or can afford to buy, is lying idle at present or in various stages of part completion. It is frozen in time and I am sure this year will be remembered as the great recession of 2008. Meanwhile, 60,000 households who are desperately in need of social housing have no new homes to go to. The Government put pressure on local authorities to provide social housing through the public private partnerships, giving their developer friends a share in the rich bank of prime location social housing sites and dressing it up as "social regeneration". Residents were promised long overdue social and community facilities and new modern homes to replace much neglected and poorly maintained flats. The Government parties told these residents it would be a win-win, that the developer was taking the risks and that there was no risk to the local authority. There was supposed to be no risk to the tenants. However, we saw what occurred on 26 May. Five public private partnership projects worth in the region of €2 billion collapsed, four of which were in my constituency. It was not the developer who took the risk and paid the penalty but the tenants who had worked hard with the developer, the local authority and the Government and who had waited years for the regeneration of their communities. In my constituency last week another public private partnership regeneration project went belly up and the hopes of a further 100 tenants have been dashed.

I note the Minister of State with responsibility for housing, Deputy Finneran, is present. The Government's policy of forcing local authorities to fund projects through PPPs and under Part V of the housing Act was clearly aimed at helping developers to profit from public lands in good times. The Government facilitated such people at the time, but washed its hands of responsibility when the going got tough. That is what is taking place.

The budget for 2009 provides further evidence, as if it were needed, that the Government is looking after the developer at the expense of social housing provision. The new home choice scheme was not produced by a benevolent Government wishing to provide housing for first-time buyers. Rather, it was a rescue package for developers to continue to sell houses at inflated prices. While local authorities are starved of funding to provide for those on housing waiting lists, the State is paying a small fortune to private landlords in rent allowances. In the meantime the recipients of rent allowance are not allowed to work and, therefore, forced into a poverty trap. If they could access local authority housing, they would be in a position to find a job and thus improve their circumstances and those of their family.

The right to a home is one of the most basic civil and human rights. For more than 11 years the Government had unlimited funds to put together a comprehensive housing programme. The figures speak for themselves. The developer and landlord led approach to the provision of social housing by the Government is a complete and utter failure. The Labour Party motion proposes a new way forward which, if adopted, could resolve the failures of the current social housing policy.

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