Dessie Ellis (Dublin North West, Sinn Fein) | Oireachtas source

The cost-of-living crisis has been a dominant part of people's lives since the end of 2021. In particular, the significant increases in fuel prices and the cost of food, groceries, heating and energy, in addition to exorbitant rents, have all greatly impacted on those least able to shoulder the burden of these runaway costs.

The high cost of this crisis for the country is that many have been driven out to take up better employment and educational opportunities not available in Ireland, where they will have a better quality of life, a chance at homeownership and a lower cost of living. The most urgent needs for people are housing and quality healthcare. They are not getting either here. Substantial amounts of an individual's income are also going towards the cost of childcare, education and transport. There is too much uncertainty and instability in people's lives and they are fearful about their future. Those fortunate enough to own their own homes are now finding that rising mortgage rates are putting them under severe financial pressure. The repeated increases in the main lending rates by the European Central Bank since last July have resulted in mortgage repayments that are exorbitant amounts for some.

Typical tracker interest rates have increased from 1.15% in June last year to 4.65% on average. Those with tracker mortgages are particularly feeling the brunt of these interest rate rises. Those on tracker mortgages now face increases in repayments on a typical tracker of up to €1,650 over a full year. These interest rate rises will also impact on first-time home buyers who will find it more difficult to buy a home. People in such a position are at great risk of falling into arrears. There is also a possibility that, in the long term, they will lose their house or apartment.

These interest rate rises have proved to be very challenging for homeowners. This is why Sinn Féin has called for the introduction of a targeted and temporary mortgage interest relief that would be limited to eight months and subject to strict criteria, namely, that it would apply only to principal dwelling homes and new and existing mortgage agreements. It is time to give homeowners a break. This measure will go some way to alleviating the acute financial distress these interest rates are causing homeowners.

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