John Brassil (Kerry, Fianna Fail) | Oireachtas source

I imagine the Bill in its existing form permits HBFI to borrow from the market and presume it would choose to get the best terms on debt as possible. If Deputy Ó Broin can convince me that there is a need for amendment No. 1, I will remain open to considering it. I imagine any company would seek to find the best rates available in the market as not to do so would be grossly irresponsible.

The establishment of HBFI is very welcome but long overdue. I genuinely hope it is not just another announcement to deal with the housing crisis only for us to be back here in 12 months, with very little having been delivered, as, unfortunately, has been the case with its precursor, the Activate Capital programme, for which there was a pot of €550 million. It has contributed to the construction of just 3,600 houses since its creation in 2016. I hope the HBFI will not be a similar flop. I very much welcome its establishment as it suits the banks not to lend for the purpose of building houses because most of thelm still have a considerable number of distressed properties in their portfolios. The longer the crisis continues, the greater the value of those properties will be, leaving the banks' balance sheets better off. It is not in their interests to loan money to build developments. HBFI can play a critical role in that regard. The institution will not tackle construction costs. If we take capital out of the equation in counties such as the one I represent, Kerry, the cost of developing a greenfield site, including levies, development site costs, planning and so on, is greater than the purchase price of a property available on the market. Until that issue is resolved and we do something about site development costs and levies, etc., there will be very little building, particularly in the private sector, in counties such as Kerry.

I hope this will not be another failed entity and that it will begin to tackle what is a major crisis. I hope it will start to make inroads into the 120,000 people on social housing waiting lists. I look forward to receiving regular updates on the performance of HBFI. We will play an active role in trying to ensure it will do the job it is being set up to do.

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