Catherine Murphy (Kildare North, Independent) | Oireachtas source

I move amendment No. 16:

In page 37, between lines 16 and 17, to insert the following:“(4) A housing authority shall ensure that, unless otherwise directed by resolution of the elected members of the local authority to which the housing authority is subject, 100 per cent of the proceeds garnered from the sale of a house under this Part shall be retained by the local authority for the specific purpose of providing further accommodation.”.

I realise that local authorities are empowered to retain the funds in their areas but, and I asked this question on Committee Stage and I am not convinced I received an answer, do the balances of the local authorities contribute towards the general Government deficit?

This amendment deals with a key issue. If we are to maintain the extent of the housing stock, it is essential that this money is re-used to provide replacement housing, whether that comes in the form of a new house or through refurbishing other houses. The quantity of housing is the issue. I read the executive summary of the National Economic and Social Council, NESC, report that was produced yesterday. It states that the fund for social housing provision on the necessary scale will require the creation of public housing institutions capable of attracting finance without adding to the national debt, and that such housing providers would require an adequate rental income stream. Essentially, it is referring to a mixture of people who are at work and people who are not at work and who would be unable to pay significant rents.

This legislation is being presented in the absence of us knowing what the future holds in terms of the prospects for the more than 90,000 on the housing lists, with another more than 10,000 people likely to be added to the lists with the number of repossessions coming down the tracks. If it is the case that we will not see large-scale social housing being provided, are we seeing here an attempt to gather an income? How will that income be spent? In future, will social housing provision be exclusively the preserve of private entities, with the market the main provider of social housing? If that is to be the case and unless there are caps on the amount of rent that can be sought, there will be a serious problem with people having to source that accommodation themselves and the issue of how that housing is managed. It also has consequences down the line for children.

The number of houses that can be provided from ring-fencing this fund will be a small contribution. The Minister said she will introduce a scheme that will be related to people's income. When does she think that scheme might be introduced and how does she envisage it being introduced?

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