Peter Fitzpatrick (Louth, Independent) | Oireachtas source

I welcome the opportunity to speak. Generally speaking, the budget was welcomed by most people and businesses. In my speech on budget day I acknowledged the Government's efforts to improve the circumstances of the public and the business community during the pandemic. I wish to raise a number of items. There was no doubt but that when people read about the proposals in the budget they felt they would be financially better off. On the face of it, that is true, but when we look a little closer I fear that the opposite may be the case.

This coming winter we are heading into very unsustainable energy costs. The cost of wholesale gas is rocketing. The cost of diesel and petrol is rising weekly. It is clear that this will continue. The pensioners rightly received an increase in the weekly pension and the fuel allowance, but it is becoming clear that these rises will be eaten away by the surge in fuel prices. The carbon tax is also increasing the cost of energy. The reason I raise this is that I know from listening to people, particularly the elderly, in my constituency office in Dundalk how expensive it is to heat their homes. Some are now resorting to turning their heat off. No person, particularly a pensioner, should ever have to make that decision. I know the situation is not simple. A lot of these homes are hard to heat and need upgrading in respect of insulation and heating systems. Support schemes have been announced in the budget but they will not be introduced quickly enough. We need heating upgrades to be installed immediately.

I know the Government is heavily supporting the introduction of heat pumps. There is no doubt but that, when used correctly, they can make a significant difference to households' heating costs. However, this raises two issues that need to be resolved. One is the fact that heat pumps use electricity as their source of power. My issue with this is that we read weekly that the national grid is under severe pressure and likely to reach capacity in the coming winter. What will happen once a significant increase in the number of heat pumps is brought on board? How will we solve this issue? Another issue is the high capital cost of installing the heat pumps. I know from dealing with constituents that many would love heat pumps in their homes but simply cannot afford the initial capital expenditure. Again, that issue will have to be addressed and realistic options put in place.

I said a few moments ago that people, especially those living on their own and those whose loved ones have passed away, are resorting to turning their heat off. At one stage they may have had two incomes coming in and then, all of a sudden, may have only one income coming in. They are looking for their houses to be upgraded. We all know that if you have bad windows, bad doors or bad roofs, they need replacing. If they are not replaced, the heat from any fire lit goes either up the chimney or out the windows and it is a complete waste of time.

I will say one thing, especially for people over 85. The adaptation grants, the support scheme which is distributed through the local authorities, are excellent. The big problem we have there, however, is that the minute they get their €1,000 or €2,000, the next thing you know the money is gone. Many people, especially people aged over 65, are looking for these grants but just cannot seem to get them. They could be on a waiting list for up to maybe three, four or five if not six years. The thing that alarms me in my constituency - I am sure other constituencies are the same - is the number of people who are 80-plus and who are looking for these grants but just cannot get them. In fairness, they are looking for the grants for maybe a wet room, a toilet or a bedroom downstairs, just for a bit of comfort in their last years. I ask the Minister to have a look at that system. The money is great and people do appreciate it, but it is taking far too long for the elderly people to receive the money.

Once again, I acknowledge the extension of the employment wage subsidy scheme for businesses. As I said on budget day, this has been critically important to businesses in County Louth and the rest of the country during the pandemic. Many businesses that otherwise would not have survived the pandemic are now able to keep their doors open because of this support, and I welcome that.

The extension of the 9% VAT rate for the hospitality sector is also welcome. As the Minister will be aware, we in Louth have a very successful tourism sector, with many people from all over Ireland and the rest of the world visiting our many tourist areas, such as the Cooley peninsula, which includes the historic village of Carlingford and its neighbour Omeath. We have the Boyne Valley trail also. These are areas of great national importance. The extension of the 9% VAT rate to the hospitality sector is warmly welcome in these areas.

The last issue I wish to raise in respect of the Finance Bill is the lack of support for the upgrading of vacant homes. Louth County Council has been probably the most successful council in bringing vacant houses back into use. As I have said on many occasions in this House, it is shocking to see the number of vacant homes in established residential areas, not only in Dundalk but throughout the rest of the country. The last GeoView report of 2020 suggested there are 92,251 vacant addresses in Ireland, which represented almost 4.6% of all building stock. There should be a national register of vacant homes and that register should be used to target those homes that are empty to ensure they are brought back into use. That would be an immediate solution to help with the housing crisis. If Louth County Council had more funding from the Government, it would be in a position to bring more of these homes in Louth back into the housing stock. I am sure other councils around the country are of the same opinion.

The housing plan announced in the budget is ambitious and in the long term will yield results, but the housing crisis is here now and we need a more instant response. I would be interested to hear the Minister's views on this and the Government's response. The bottom line is that we have a severe housing crisis, rents are spiralling out of control and young people are finding it extremely difficult to get on the housing list. We need action now.

There are many aspects of this budget that we have to praise. The increase in tax credits, the increase in the pension and other aspects need to be acknowledged, but we are entering into a very volatile period in respect of living costs. The cost of most items is rising far too quickly. The building cost of homes is rising weekly. The cost of lighting and heating homes is rising far too quickly. Any benefits one will get from the budget will quickly be absorbed by these rising costs. Some people have even suggested that the extra money in people's pockets will fuel the dramatic rise in living costs. The real danger I fear we face is inflation. It is important that the Government recognises this and takes whatever action it can to curb it.

I urge the Minister to help the people to heat their homes. As I said, the councils' adaptation grants are excellent. I ask the Minister to consider making more money available for them.

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