Dáil debates

Tuesday, 31 March 2009

Housing (Miscellaneous Provisions) Bill 2008 [Seanad]: Second Stage (Resumed)

 

5:00 pm

Photo of John BrowneJohn Browne (Wexford, Fianna Fail)

I thank Deputy Brady for sharing her time. I welcome the Bill. I always get worried when told a Department has decided to carry out a re-evaluation of a scheme because it usually means it will reduce the amount of money available or it will withdraw some schemes, which would be of concern.

I support what Deputy Brady said about the grant system. The essential repairs grant, the disabled person's grant and the re-roofing grant are essential to allow elderly people to remain in their homes. The problem with the grant system is that, first, there is not enough money and, second, the councils are too slow in carrying out the assessments. That is an area in which the Minister of State with responsibility for housing should take a direct interest. He should ensure adequate moneys will be available in 2009 to meet the demands. It is preferable that older people and people with disabilities remain at home rather than go into nursing homes or hospitals. It would be more financially beneficial to the Department and local authorities for people to remain at home.

The housing aid for the elderly scheme was, as Deputy Brady said, abolished on foot of a recommendation in 2006. I disagreed with the decision at the time and I retain that position. FÁS was closely involved in the housing aid for the elderly scheme and many good works were carried out around the country, especially in my county. The scheme had a two-fold policy. It solved the problems of elderly people and people with disabilities by building bathrooms, re-roofing houses and building extra bedrooms where that was essential but it also retrained and re-skilled young people who wanted to qualify as carpenters, bricklayers or electricians. With so many young tradespeople out of work again the scheme should be reconsidered. I hope the Minister of State with responsibility for housing and the Tánaiste and Minister for Enterprise, Trade and Employment, Deputy Coughlan, will consider the reintroduction of this scheme. Perhaps it would have to be administered through county councils. That scheme was worthwhile and should be considered.

Although it would add a cost, I believe people building two-storey houses should be obliged to put a bedroom and bathroom downstairs. That should be compulsory. It is costly for local authorities and the Department to provide those facilities as people get older and it would be preferable to include them when houses are being built. We introduced compulsory bathrooms downstairs to cater for people with disabilities and other people confined to wheelchairs. We should now consider making a downstairs bedroom compulsory. I urge the Minister to seriously consider the matter.

We have all been lobbied by builders from around the country. A total of 35,000 new houses that were built remain unsold and the Minister for Finance is anxious to get money into the coffers. The builders made the point that if those houses were sold in the next two years it would generate €1.1 billion for the Exchequer. We must consider incentives and how we can encourage people to get back into the buyers' market. People are not buying houses currently as they feel house prices will drop further. I know that to suggest tax breaks currently is akin to using a dirty word in some media quarters, but a once-off, targeted €15,000 new-house grant over a one-year period would bring people back into the market, and we should seriously consider that option.

The Minister for Finance, and the Minister for the Environment, Heritage and Local Government and local authorities should be able to put together a package to encourage people to buy their own homes. In addition, local authorities should become involved in buying some of the houses that are available. Significant numbers of people are on the housing list and 35,000 houses that were built remain unsold. Surely there are enough brains within those three areas of responsibility to come up with a policy that would enable local authorities to acquire a substantial number of such houses on a rent-to-buy system or on a rental system for allocation to people currently on the social and affordable housing lists.

Most people who have applied to buy an affordable house tell me they are no longer affordable. The Minister must examine the matter. I am aware that local authorities in Dublin are considering the issue but it needs to be done on a countrywide basis because some of the prices that local authorities paid for affordable houses no longer apply and the Exchequer or the Department of the Environment, Heritage and Local Government will have to help local authorities to sell off the houses at current market values, not the value at the time the properties were acquired.

I accept tax incentives are not flavour of the month but I still think there is an opportunity for a targeted regeneration of run-down areas in villages and towns. The urban renewal scheme was very successful in the past. It worked well in my town of Enniscorthy and in Wexford, Bunclody and a number of smaller towns in County Wexford. However, we still have run-down areas and the Minister should consider a targeted regeneration scheme. As Deputy Brady indicated, that would encourage builders to get back to work, and to provide jobs and opportunities for young people.

We were expecting the Minister of State with responsibility for housing to make an allocation in February, then March. I accept the budget is due next week but I urge the Minister to make the allocations to local authorities as soon as possible. A substantial housing stock is available and there is an opportunity to buy houses at a reduced price. If local authorities have the money they should buy those houses, as many builders currently want to sell them. Good value for money is available at present and the Minister should allocate the money as soon as possible.

I understand some local authorities have large amounts of money in the bank. They should be encouraged to spend some of it on the purchase of houses. There is no point in having money in the bank at present as there is very little return for it, but one would get good value from house purchases. Local authorities should consider that option.

Local authorities have not always been upfront in regard to the provision of the 20% or 25% that is required for disabled person's grants or essential repair grants. The Department allocated substantial moneys for such projects, but the local authorities reduced the moneys they would invest. That is not good enough. It is important that disabled person's grants, essential repair grants and other grants available to people with disabilities and older people are available on request, almost. I accept that local authorities have had to prioritise areas over the past 18 months because of inadequate funding. However, if it is essential that the Minister with responsibility for housing makes reductions next week due the budget — hopefully, he will not have to — he should not interfere with or reduce the moneys available for essential repair grants, disabled person's grants, roofing grants or grants for any of the areas so beneficial to people suffering from disability or older people. If cuts are required, they should be made in some other area of the Department and grants in the areas I have mentioned should be increased. Deputy Áine Brady mentioned the number of people on the application list for housing. We need to make inroads on that as quickly as possible and to look after the most vulnerable people in our communities. I urge the Minister to ensure that this area of funding is protected, enhanced and increased. This is essential.

I welcome the Bill as it gives us an opportunity to discuss housing and issues about which we are concerned. I urge the Ministers for Finance and for the Environment, Heritage and Local Government and local authority and county managers around the country to come up with a solution with regard to the 35,000 built but unsold new houses. We have a huge number of people on council housing lists. Surely, the Ministers, local authorities and county managers have enough ingenuity and modern ideas to come up with a plan. Rather than have these houses remain unsold and unoccupied, they should find a way for local authorities to take them on board and allocate them to people on housing lists.

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