Enda Kenny (Mayo, Fine Gael) | Oireachtas source

From that, I believe Deputy Danny Healy-Rae has built all the houses we need. I should send him a copy of the Minister's programme for house-building. It covers all these areas across five different pillars, ranging from homelessness and social housing to the responsibilities of local authorities, costs for builders or developers, both in towns and rural areas, and money being put up to demonstrate that we can get back to a point where the real problem, the supply of houses, can be dealt with. Part of that was included in the budget yesterday, with a targeted, focused initiative for the provision of new houses.

As the Deputy is aware, the Government made available a €200 million fund so that local authorities could open up sites that are currently inaccessible and where roads or bridges might be needed. There are opportunities for the local authorities, which have the devolved authority in setting the levies for builders, to deal with such applications by payment upfront which is then returned, depending on whether the houses are built on time and to standard. Many variations can be followed through by the local authorities with the builders or developers of houses. There is a full range of initiatives in that regard as well as decisions to be taken. Builders will not build houses unless they make a profit. The cost of some of these was prohibitive in the past and, with the collapse of the construction sector, we are now way behind in the supply that is needed. The decision yesterday on that targeted initiative was for the building of new houses to deal with supply. Yes, there will be arguments that if the VAT level is reduced, a better result will be achieved. The important thing is that there is a timelined initiative in this area. There is a three-year timescale so that builders will have the opportunity to provide houses for those who wish to avail of them and avail of this targeted initiative.

The housing programme is much broader than this. It seeks to deal with the social housing challenge we face, the homeless and the return of voids to a situation where they can be used and lived in by families. This is the most comprehensive housing programme ever produced by any Government, and it is being rolled out now right across the country. The points the Deputy made as to when a deposit might be paid are relevant and when the first, third, fourth or fifth payment will be made. However, the issue has moved on since then. We need a prioritised set of initiatives to make this happen if we are to deal with supply because when that cannot be dealt with, rents and house prices go up, which is not in the interest of those who have an opportunity to get their own houses.

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