Malcolm Noonan (Carlow-Kilkenny, Green Party) | Oireachtas source

I thank the Deputy for welcoming the delivery of 25 affordable homes in Castletroy.

Between 2000 and 2015, Part V obligations under the Planning and Development Act allowed local authorities to avail of up to 20% of the planning gain on relevant land for social and affordable purposes. This was subsequently reduced, as the Deputy is aware, to 10% in 2015 for social housing. In line with the commitments in the programme for Government, changes to Part V were introduced under Part 6 of the Affordable Housing Act 2021, which was enacted on 3 September 2021. The provisions increased the contribution required for social and affordable housing, including cost rental housing, up to a mandatory 20% for planning permissions granted in respect of land purchased before September 2015 and since 1 August 2021.

Transitional provisions were included that defer the application of the increased 20% requirement to August 2026 in the case of land purchased when the obligation was 10% between September 2015 and August 2021. These transitional arrangements aim to ensure that near-term delivery will continue and will also encourage developers to bring land forward for development now. This is consistent with the overall approach to supply in Housing for All, which is to stimulate development across all tenures.

In addition to the affordable homes that will be yielded by Part V as the provisions are rolled out, delivery of affordable purchase and cost rental homes will be achieved in the immediate term through local authorities supported by the affordable housing fund, through approved housing bodies, AHBs, supported by the cost rental equity loan, and via the LDA. The Deputy may also be aware that the first home affordable purchase scheme is available to first-time buyers unable to afford new homes and I understand there have already been applications in Limerick. I understand that funding was also recently approved for an affordable purchase scheme in Limerick, which will see delivery of homes in 2023.

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