Richard Bruton (Dublin Bay North, Fine Gael) | Oireachtas source

It is important to put this measure in context. The Deputy has shown some understanding of this. We have a strong commercial sector, but our housing sector is not meeting the needs of the people. Our intention in introducing this measure is to secure a switch in activity to the housing area, where it is badly needed. The Minister has provided for a relief that will apply to any sale of farmland that is then used for residential purposes. He has also provided for capital gains tax measures and for a new fund that will support developers to develop land for housing. This is part of a group of measures, the aim of which is to deliver one of the most important needs of our people. The position in relation to stamp duty on commercial property, which includes certain categories of farmland, is that there will be an increase to the new 6% rate. It is not going back to the 9% rate that prevailed in the past. There are very significant exemptions, as the Deputy knows. There are exemptions for young farmers, for transfers within families when holdings are being consolidated and for sales that result in the land being used for housing purposes within a specified 30-month period. These significant concessions will ensure genuine farmers who are trying to transfer to the new generation and young farmers who are entering farming are protected.

As the Deputy has rightly said, the finance Bill will include additional provisions to deal with some anomalies in the system, such as the provision that means people over a certain age face a higher level of stamp duty. A period of time will be given to allow such transfers to occur. The Deputy has also rightly mentioned that in the longer term we want to see earlier transfers. This measure will be reviewed after a certain period to ensure our intention, which is to encourage earlier transfer, is remaining an important part of our approach to farmland. I cannot speak for Sinn Féin's intentions in submitting its proposals. I did not see any such exemption outlined in its document. I am not accountable for Sinn Féin's intentions. Sinn Féin rightly pointed out in its pre-budget submission that this is a justifiable measure. It is now being introduced. I think reasonable reliefs are being put in place to ensure it does not have unintended consequences for the sorts of farming transfers we want to see happen.

See this speech in context