Joan Collins (Dublin South Central, Independents 4 Change) | Oireachtas source

Twenty years ago, the then Fianna Fáil Minister with responsibility for housing, Noel Dempsey, introduced the Part V requirement, set at 20% of new developments, to be set aside for purchase by local authorities for council housing.

They were to be purchased at existing use value. However, after lobbying by developers and the construction industry, no doubt involving the Galway tent and brown envelopes, this figure was reduced to 10%. Mr. Dempsey's successor as housing Minister nearly tore the Part V requirement to pieces by allowing developers to pay local authorities rather than provide housing. The whole thing was a disaster.

The current Minister, Deputy Darragh O'Brien, stated clearly earlier this year that he wanted to return to a figure of 20%, made up of 10% social housing and 10% affordable to buy. That would have meant up to 6,000 new-build units per year if developers hit the new-build target of 30,000 set out in the Housing for All plan. The benefit of Part V is that it could create mixed-tenure communities. However, lobbying by developers and the construction industry has, in effect, succeeded in watering down the requirement to 10%. This will be the effect of the complicated Part V arrangements in Housing for All arising from the concessions made to developers who either owned or had planning permission on sites. Part V requirements will not become effective until 2026, five years from now. If the 20% requirement had been in place for the past 20 years, alongside a programme of public housebuilding by the local authorities, we would not have the crisis we now face. Another five years will be added to the lost 20 years.

Fianna Fáil and Fine Gael are very good at grandiose plans but when it comes to the nitty-gritty, developers rule. As I and others have stated, Part V at 20% and with existing use value will not solve the crisis on its own but would help alongside Government-led programme using existing State-owned land to build 100,000 units in a mix of traditional council housing, cost rental and genuinely affordable homes.

I support this Bill put forward by Deputy Ó Broin. It deals with the issue very succinctly. I welcome that the Government is accepting the legislation but it should be implemented because it is crucial. The bit of history we heard earlier about developers challenging the previous Part V requirements should open up debate on Committee Stage about whether the Minister's decision to reduce the requirement to 10% again is really necessary. I urge the Government to accept the Bill in its entirety.

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