Paschal Donohoe (Dublin Central, Fine Gael) | Oireachtas source

I thank the Acting Chair for the opportunity to respond to the different points made, and, indeed, to respond to some of the charges made against the Government, my party and the Ministers working on responding to the great challenge we face.

Let me begin by making it completely clear where this Government and I stand and where previous Governments have stood, and whose side we are on. We are on the side of those seeking to be able to rent a home at an affordable price and those seeking to buy their first home at an affordable price.

They are the people this Government is serving. When the Government is looking at the right policies that need to be put in place to meet those needs, they are the people who we have at the centre of our planning and our thinking.

That is not just a claim on behalf of me or the Government, it is matched by actions that we have taken and changes that have happened. I can see it at first hand in my constituency in the lives of those who I serve and represent. I know the challenges faced by those who look at how they are going to pay their rent every month, worry that the rent is going to increase in the future and wonder how they will ever be in a position whereby they will be able to set aside money for the deposit for a mortgage. I know what it is like when I knock on the door of a home and meet people who have been on a Dublin City Council housing waiting list for years and are wondering when that new home is going to become available. Equally, however, I know and can see the difference that policies have made, and will make again, to those households.

I see homes currently being built in Dominick Street by the State. It is being supported in the delivery of those homes, the purpose of which is to meet current needs, by city council. I see the work that is under way at O'Devaney Gardens. I see the commitment in respect of the redevelopment of St. Mary's Mansions and what has happened there. That is not consistent with the rhetoric to the effect that this Government is not playing its role in meeting housing needs. The homes to which I refer are being built on behalf of the State to meet the needs that are there, that are growing and that are the cause of such anxiety for so many. The Minister for Housing, Local Government and Heritage visited and opened the redeveloped St. Mary's Mansions. I see the difference that project has made, at the very heart of the Dublin Central constituency, in Sean McDermott Street. It was a project that for so long was a sign of how progress was not being made. To see that project actually being delivered is not a sign of a State that is subcontracting out its responsibilities in the context of meeting housing needs in Ireland. It is the sign of a State that is meeting those needs directly. The previous Government sought to do it and this Government will continue to do it, and will find ways to do it more effectively.

If that is the reality of what I see in the context of houses that are being built and needs that we must meet, and I know that we must meet many needs and do even more, it is also the case - and the figures are there - regarding homes that were being built before the pandemic hit. There is also the intention that the Government has to directly build more homes this year. I heard speaker after speaker this evening ask why the State is not playing a role and why it is not responding directly to the needs that exist. In 2019, before the pandemic hit our country, more than 5,000 homes were built by the State in response to existing needs. This year, despite all of the challenges that we are facing in opening up our construction sector, the closure of which was supported by many who have spoken this evening, the Government is still aiming to meet the demanding goal of delivering 9,500 homes, either directly or indirectly. That is the reality of what is happening. Even with all of the challenges we have faced and are facing in the context of Covid when it comes to reopening up our construction sector and getting it up and running again, it is still the case that the single biggest provider of homes in the country this year, either directly or indirectly, will be the Government. I heard speaker after speaker ask where the Government is. That is where the Government is. The meeting of housing needs in this way this year, the commitments that have been made, the work that is being led by the Minister, supported by a housing budget of over €3 billion to continue to build on this work and meet the needs that are there, is the sign of an active Government and the role that it is determined to play.

To deal with the issue that is also lies at the core of this matter, namely, the role of institutional investors, the role they have to play and the debate that has taken place about that this evening in recent days, I highlight the following. The Department of Housing, Local Government and Heritage recently published its housing demand needs analysis, which highlights the fact that 33,000 homes need to be delivered here. The analysis makes the point that 18,400 of those homes will either need to be delivered through the private rental market or will need to be built by the private sector for people to buy and own. Ours is a small economy, and one with two banks that will be active in the coming years in meeting the needs that exist. If we do not have an economy that is big enough to meet, for example, the employment needs of our society - which is why there is a role for foreign direct investment within our country - and the need for a private sector that uses private capital to add to the efforts of the Government, then there is a role for large investors and pension funds to play in meeting those needs within the parameters of a legal and regulatory framework that is put in place by the Government.

As the Minister indicated, and I want to reiterate this point, we are looking at measures that can be taken to deal with incidents such as that which happened recently and which was reported on last weekend. I understand why this matter is of concern and how families feel when they worry that they will be priced out of the market and will not be able to buy a house and call it a home for life. We understand that. That is why the Government is looking at options in respect of how we can deal with this issue. The Minister and I are working on that at the moment. We will do that work and we will complete it. For those who have made the charge this evening that the State should not allow these investors into our country, that they should play no part at all in meeting the needs that exist, there is a question that falls to them to answer. If we want to make progress in dealing with the rental needs of a generation that needs more apartments at rents that are affordable, does the private sector have a role to play? Is there a role at all for investors of scale to become landlords that are able to meet needs and provide rental accommodation in large numbers? In the same way that we look to international investors to become involved in our economy, the State will set up a framework in which that can be done in this sector. We will deal with, and look to make progress on, the issue that has been of such concern to so many and that has provoked and incited the need for the kind of debate we are having this evening and the motion that has been put forward.

I will go back to where I began. What is motivating this Government and all of its efforts, is meeting the housing needs that are there. We know that they are growing. We know how high is the level of anxiety among those who are renting and who are worried that their rent will go up or that they may not be able to own homes in the future. The answer to dealing with much of that is in how we increase supply. The Government will play our role in that regard. We are playing our role through the scale of the housing budget that is in place. We will continue to look at the framework that is in place and how it can be strengthened to channel in investment in such a way that it can meet the need for more homes. That is the mission of this Government and it is what the Minister and I are working together to deliver.

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