Eoin Ó Broin (Dublin Mid West, Sinn Fein) | Oireachtas source

Sinn Féin is not opposing the amendment. However, I must say that a number of the justifications used by the Minister of State in describing the amendment are not factually correct. I would like to give him the opportunity to clarify some of the aspects behind this very specific amendment given that it is a very significant amount of money. The LDA does not have access to over €6 billion. It was given an initial capitalisation of €1.25 billion and a further capitalisation of €1.25 billion and now this third capitalisation. In theory, it can borrow up to €1.25 billion and, in theory, it can access other sources of funding through joint ventures and whatnot, but neither of those sources of funding are either secured or guaranteed. The LDA has been telling all of us on the Oireachtas Joint Committee on Housing, Local Government and Heritage that it is not minded to borrow because of high interest rates and the impact that would have on cost rents.

In addition, the €1.25 billion of other sources, as it was helpfully described to us by officials at the committee some weeks ago, is as yet unsourced. Right now, the LDA has €3.75 billion either spent, committed or, if this amendment goes through, available to it. It is almost half what the Minister of State said.

The second issue is the LDA does not have any increased ambition. This is one of the very frustrating things about these discussions. The LDA has a business plan for 2024 to 2028. The number of homes to be delivered under that business plan has not changed. There is no increase in the volume. In fact, the problem here, and it would be much better if the Minister of State were honest, not just with us but with the public because of the sums of money involved, is that the LDA needs more than €7 billion of funding to deliver those homes. Last October - not October of this year but October of last year - Darragh O'Brien sat in a press conference on budget day and said the LDA was going to get an additional €6 billion of capitalisation. The Minister had not discussed that with either the Minister for Finance or the Minister for public expenditure and reform. We know that because neither of them mentioned that enormous sum in their budget speeches. There was then a protracted negotiation from October to December when, rather than a €6 billion capitalisation to bring it to the €7 billion it needed, the LDA got €1.25 billion from ISIF under legislation that was passed earlier this year and a promise of a further €1.25 billion, which the Minister of State is bringing to us.

Given the scale and size of the financial commitments involved and the genuine concern the public has about public and affordable housing delivery, the least we would expect is a bit of honesty. What this is actually about is the Government scrambling around trying to work out how to capitalise the LDA. The great tragedy in this is the original conception of the LDA was that it would not require 100% State funding but would in fact require 50% State funding and 50% private funding, when clearly the LDA has decided it wants the maximum level of capitalisation.

I invite the Minister of State to do the following. First, will he confirm that the LDA does not have €6 billion to hand? It only has the three tranches of capitalisation. It may borrow in the future and it may secure other sources, but that is not money that it currently has and, therefore, the money to hand is €3.75 billion. Second, will he confirm for the record of the Dáil that there is no change to the number of units to be delivered in the LDA's business plan, which was written more than a year ago? Third, for the sake of clarity, because this has been a very confusing tale over the past year, will he set out in as clear terms as he can each of the three changes in the legislation - the original capitalisation of borrowing commitments, the subsequent capitalisation and other sources entitlements, and this capitalisation - so everybody knows where the money is coming from, what is to hand and what is hoped for?

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