Peter Burke (Longford-Westmeath, Fine Gael) | Oireachtas source

I thank Deputy Gould for tabling this Topical Issue matter. It is a very serious issue. I remind the Deputy that the best way to build houses is, if he could advise his colleagues, to stop objecting to houses. The Deputy quotes the ESRI, but it is very interesting that he does not quote the ESRI on the property tax, which is a progressive tax the Deputy is also against, and he is against carbon tax. Yet, the Deputy is advocating what the State should borrow. That is called "fantasy economics".

Increasing the supply of public, social and affordable homes is priority for this Government. It is the number one priority for the Government, which the Taoiseach has clearly stated, to deliver the housing and the housing policies to ensure that everyone has access to a home, whether it be social, affordable, a home to rent or a home to buy.

The programme for Government includes a commitment to deliver 50,000 new social homes with a focus on new-build homes. Local authorities will be central to increasing the supply of new-build social housing and my Department is working closely with the local government sector to ensure that they have capacity to deliver this ambitious programme. We will ensure that local authorities have the required technical expertise to initiate, develop and deliver new housing schemes, with a particular focus on project management. The Deputy will be aware that Cork has borrowed to deliver significant development on the St. Kevin's former hospital site, and other huge sites in the Deputy's constituency.

The Government is also committed to putting affordability at the heart of the housing system by prioritising the increased supply of public, social and affordable homes. This will be achieved through a State-backed affordable home purchase scheme to promote home ownership and by working with local authorities, approved housing bodies and the private sector to ensure that there is an appropriate mix and type of housing provided nationally. We will also improve the supply and affordability of rental accommodation and the security of tenure for renters, through new initiatives such as the cost rental schemes. We are providing capital funding of €468 million specifically to cover affordability measures including: €110 million to be ring-fenced for a shared equity scheme and cost rental loans; €50 million in serviced sites funding; €38 million in local infrastructure housing activation funding, LIHAF; €210 million for the Rebuilding Ireland home loan; and €205 million to be spent by the Land Development Agency in its progression of housing, including affordable homes on key strategic sites, of which €60 million will be provided through the Vote of the Department of Housing, Local Government and Heritage.

In 2021, the Government's commitment to increase the supply of public housing is underpinned by a record budget of €3.3 billion to deliver our housing programmes. In addition to the Exchequer investment in housing programmes, the Housing Finance Agency, under my aegis, is on hand to advance funds to local authorities and approved housing bodies for use in the delivery of housing. Under difficult circumstances, the Housing Finance Agency has had a net loan book increase of €545 million in 2020.We must consider this in the context of the backdrop of Covid-19.

Despite the restrictions, 2020 was a record year for approved housing body business with loan approvals of €1 billion. Gross loan advances of €773 million in the year brought the total loan book to a record €5.2 billion, making a significant and invaluable contribution to housing delivery in Ireland.

This year we will deliver the Government's new strategy, Housing for All, which will set out our strategy and policy for the next five years. The Deputy will be aware that the plan is being developed in the context of the need for 33,000 new homes each year across all tenures. Again, these are figures that have been underscored by the ESRI. The plan will include annual targets for the delivery of social and affordable homes. Housing for All is a whole-of-government approach and the Minister, Deputy O'Brien, is working closely with colleagues in government on all the measures to be taken in the plan. I welcome the contribution of the ESRI report to the debate on how we fund and deliver these housing programmes. The Government will be considering this. The Land Development Agency is huge in terms of delivering at times when our economy might be stressed with public debt because it will have the capacity to raise funds and deliver housing in a counter-cyclical manner. It is important when we quote the ESRI that we do not do it selectively just when it suits us, but in the context of all the initiatives in the area of housing.

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