Catherine Byrne (Dublin South Central, Fine Gael) | Oireachtas source

I will be taking this matter on behalf of the Minister, Deputy Simon Coveney.

A range of measures is being taken under the Rebuilding Ireland Action Plan for Housing and Homelessness to increase housing supply overall, with the aim of creating a functioning and sustainable housing system which can meet housing demand at more affordable prices. The plan is divided into five pillars, with each targeting a specific area of the housing system. Pillar 3, entitled "build more homes", has a key objective of increasing the output of private housing to meet demand at affordable prices, including by opening up land supply and State lands, including the major urban housing development sites initiative, which identified large-scale sites in the main cities that are capable of delivering significant numbers of homes in the short to medium term to boost overall housing supply, a €200 million local infrastructure housing activation fund, National Treasury Management Agency financing of large-scale “on-site” infrastructure, planning reforms, putting in place a national planning framework and land management actions, efficient design and delivery methods to lower housing delivery costs and measures to support construction innovation and skills.

While there are no plans at present to reintroduce an affordable housing purchase scheme, pillar 4 of Rebuilding Ireland, entitled "improve the rental sector", provides for the introduction of an affordable rental scheme to enhance the capacity of the private rented sector to provide quality and affordable accommodation for households currently paying a disproportionate amount of disposable income on rent.

As set out in the strategy for the rental sector published in December 2016, the commitment to introduce affordable rental is now to be progressed through kick-starting supply in rent pressure zones. Lands held by local authorities in rent pressure zones are to be brought to market on a competitive tendering basis, with a view to leveraging the value of the land to deliver the optimum number of units for rent, targeting middle income households, in mixed tenure developments. The cost of providing rental units is to be permanently reduced by lowering the initial investment and development costs for providers - approved housing body or private - allowing the rental units to be made available at below market prices without the need for ongoing rental subsidies.

The local authorities concerned will identify a number of sites with potential and will move forward as soon as possible to issue calls for proposals from parties interested in developing projects. As speed of delivery will be critically important, appropriate licence arrangements, incorporating clear timescales for delivery, will be a key feature of the process.

This programme is being co-ordinated with the dedicated measures in Rebuilding Ireland to accelerate housing output from the major urban housing delivery sites, including support from the local infrastructure housing activation fund, LIHAF where necessary. Through this combination of measures, the Government is satisfied that a more sustainable housing system delivering accommodation at more affordable prices and rental levels can be achieved.

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