Peadar Tóibín (Meath West, Sinn Fein) | Oireachtas source

One of the most shocking aspects of this whole process for me is the realisation that Fine Gael is actively seeking to increase house prices and rents in this State. I say that in a very measured manner. I remember a number of months ago sitting across from the Minister for Finance, Deputy Michael Noonan, and trying to make him understand the difficulties in the rental and housing market at that time. Over and over again he said that house prices have to rise, that there was no profit in building and that we had to see house prices increase. Last week, I said to Deputy Alan Farrell that Fine Gael was actively seeking to increase rents and house prices. I expected an energetic response, a backlash, from him, but he agreed with me. He said that we have to see house prices increase so that it will be worthwhile for people to actually build. It is astounding, three years into this housing crisis, that this is the true motivation behind the Fine Gael housing policy.

We have seen astronomical rents achieved by a purposeful retrenchment in the building of social housing over the last number of years. We have seen activity by real estate investment trusts, REITs, and vulture funds, as well as tax breaks and help to buy schemes, which have poured petrol on a housing market that is already out of control. The result is chaos for people all over the country.

If the Government believes that a garda in Dublin earning €23,000 will be able to pay €15,000 for housing per year, then its maths is completely astray. There is not a sector in society that is not suffering as a result of rent inflation. Rent inflation is fuelling pay inflation as families struggle around the country. The mistakes the Government is making in this sector are causing problems in other sectors too.

Last week, a young mother called Caoimhe Murtagh, who is seven months pregnant, had no choice but to sleep rough in Market Square in Navan. She is expecting a child in eight weeks and is absolutely terrified that she will not have a stable space for herself and her baby. She has also been separated from her three year old son as she obviously could not bring him with her as she slept at a bus stop overnight. She is facing Christmas in bed and breakfast accommodation along with thousands of others. She has been approved for the housing assistance payment, HAP, but the supply of housing is just not there and the prices are far too high for her. She is probably going to join hundreds of other people in County Meath who have been forced, in a tidal wave of people, westwards. People from Ratoath in County Meath have ended up in Kells, Oldcastle, Cavan and Leitrim in the search for affordable accommodation.

Clearly, now is the time to act. We have demand-pull inflation and the Government cannot let this rent inflation crisis continue. I appeal to the Government, in the run up to Christmas, to accede to the logical tying of rent to inflation in this country so that people can have some idea of what level of rent they will have to pay.

See this speech in context