Dáil debates
Thursday, 5 April 2007
Priority Questions
Social and Affordable Housing.
3:00 pm
Fergus O'Dowd (Louth, Fine Gael)
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Question 1: To ask the Minister for the Environment, Heritage and Local Government the number of social and affordable housing units his Department expects to be completed in 2007 on foot of Part V of the Planning and Development Acts; and if he will make a statement on the matter. [13819/07]
Noel Ahern (Dublin North West, Fianna Fail)
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Output from Part V has been increasing in recent years according as general housing activity has expanded and planning permissions which predated the implementation of Part V have been increasingly built out. From a position in 2002 where just 46 homes were delivered, provisional data indicate that 1,600 affordable homes and approximately 600 social homes were delivered under Part V in 2006. The total of approximately 2,200 homes delivered last year represented a very significant increase of approximately 60% on the corresponding level of delivery in 2005.
Predictions of future output under Part V are necessarily subject to a number of uncertain variables. These include the volume of housing development for which planning permission is granted, the finalisation of individual agreements between local authorities and developers, and the timing of commencement and phasing of individual developments. Notwithstanding the uncertainty associated with these variables, it is estimated that 3,500 social and affordable homes will be provided under Part V in 2007, of which it is estimated 2,400 will be affordable homes. This would represent a further significant increase in delivery of close to 60% compared with last year's level of activity.
I am satisfied that Part V is rapidly gathering momentum and is being implemented effectively across the country, contributing significantly to the provision of social and affordable housing, within the comprehensive policy approach contained in the Government's recently launched statement Delivering Homes, Sustaining Communities.
Fergus O'Dowd (Louth, Fine Gael)
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I understand that approximately 80,000 homes were built last year. Not every house is in a Part V scheme. However, there is a very paltry return of approximately 3,000 homes when it should be 10,000, 15,000 or even 20,000. It is a very poor result from Part V. The question is directed towards local authorities and how they are performing. Does the Minister of State have a list of local authorities detailing the ones with which he is not satisfied and those with which he is satisfied? The average price of a home nationally has risen to more than €300,000. That is a lot of money and it is not affordable for many people. Other Deputies in the House have pointed out recently that in Kildare one would need an income of approximately €67,000 per annum to get into the market for affordable homes. This is not sustainable. The Minister of State is not providing lower income or even average income families with the capacity to provide their own homes. He has failed completely.
Does the Minister of State intend to address the issue of the footprint of the site in that not all groups of five or more homes or apartments fall under Part V because of a site restriction below which they do not have to operate under Part V?
Noel Ahern (Dublin North West, Fianna Fail)
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Last year's output is considerable, if one looks at the figures over five years — 46, then 163, 600, just under 1,400, and 2,200. That is a considerable increase. Part V does not apply and was never intended to apply to everything.
Noel Ahern (Dublin North West, Fianna Fail)
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It does not apply to one-off housing. While there is very little one-off housing around the Dublin area now, approximately 26% or 27% of housing in the country is one-off housing. It increases as one gets further from Dublin. It does not apply to small developments of under five units, nor does it apply to unzoned land. Zoned land is still a peculiarity around the big urban areas. As one goes out even to reasonable sized towns and villages further away from Dublin, the land is unzoned.
Noel Ahern (Dublin North West, Fianna Fail)
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It could, but that is not the purpose of Part V. In many areas houses are not unaffordable. The affordability problem is in the greater urban areas. The 2001 Act related to zoned land on the basis that that was where the affordability problem lay and where there was a demand for affordable homes. There is probably only another year or so of planning permissions that got approval before the new Bill came through. As those old planning permissions die out, Part V will apply to everything.
The Deputy mentioned that an income of €67,000 would be required to get into the affordable housing market. That would be the case for a single person seeking to buy a three-bedroom family house. One can play around with statistics and make the figures look ridiculous if one likes. It is usually couples who seek three bedroom semi-detached houses. Relatively ordinary people earning €35,000 or €40,000 would, as a couple, reach the amount cited by Deputy O'Dowd. A single person with only one income would not normally buy a three bedroom semi-detached house. That is not the market for which we are trying to cater. Last year, 2,200 housing units were built and we expect an increase of between 50% and 60% on that figure this year. Part V will be a significant source of social and affordable housing in the future.
Fergus O'Dowd (Louth, Fine Gael)
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Although 80,000 houses were built last year, there has been a poor response to the need for social and affordable housing. Nothing the Minister of State has said indicates his intention to change his policy. Will he change the size of the footprint of a housing site? In some cases five or more dwellings are being built on small sites of less than 0.1 of a hectare. These developments are not affected by Part V, even when they are on zoned lands. Will the Minister of State change this regulation?
Will he review the income limits for local authority loans so that people can take greater loans from local authorities? Much affordable housing, particularly apartments, are very small. Some are so small one could not swing a cat in them. Affordable dwellings are often smaller and less attractive than other housing units in the same development.
Noel Ahern (Dublin North West, Fianna Fail)
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The loan limits have been adjusted several times. They are usually adjusted every year. It may be time to look at them again. Raising income limits for loans sometimes simply means that a different category of people qualify for the loans and the houses become more expensive. However, I will check those limits. It may be time to make another adjustment.
I accept that very small apartments were built in the past. However, some time ago the Department issued new national guidelines for public consultation. Many views have been expressed on this subject. Some local authorities may already be implementing the new guidelines and they will have statutory effect when the consultation period has ended. They require an increased apartment size and a mix of housing unit sizes in each development. Some local authorities, including Dublin City Council, already have these requirements. The guidelines will give them statutory effect.
Eamon Gilmore (Dún Laoghaire, Labour)
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Question 2: To ask the Minister for the Environment, Heritage and Local Government the overall number of households in the State who are considered to have a housing need, to include the number of households seeking local authority and other forms of social housing; the number of households in local authority or other social housing who are considered to be living in overcrowded or otherwise unsuitable accommodation; the number in receipt of rent allowances; the number who are homeless; and if he will make a statement on the matter. [13821/07]
Noel Ahern (Dublin North West, Fianna Fail)
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There are a number of social housing options available to households who cannot meet their own accommodation needs, in particular, social rented accommodation provided by local authorities, by voluntary and co-operative housing bodies or under the rental accommodation scheme, RAS.
A statutory assessment of housing need is undertaken by local authorities on a triennial basis. The most recent assessment of need for social housing was undertaken by local authorities in March 2005. The results of that assessment indicated that there were 43,684 households in need of housing from local authorities. More comprehensive data in relation to the 2005 assessment were published in the Annual Bulleting of Housing Statistics, a copy of which is available on my Department's website.
My Department does not have separate figures for the number of applicants for voluntary or community housing. However, some 75% of householders to be accommodated by this sector are taken from local authority waiting lists. The rental accommodation scheme caters for the accommodation needs of households in receipt of rent supplement who have long-term housing need. The target group for RAS is the number of households on rent supplement for more than 18 months. The target figure for the end of 2006 is 31,959 households. There is, however, a significant overlap between households in receipt of rent supplement and those on local authority waiting lists. In the 2005 assessments, 2,399 households were categorised as being homeless, 4,112 households were considered to be living in overcrowded conditions and 1,725 households were considered to be living in accommodation that was unfit or unsuitable. Some 13,778 households on local authority waiting lists were in receipt of rent supplement according to the 2005 assessment.
Eamon Gilmore (Dún Laoghaire, Labour)
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The Minister of State has not answered the question I asked. What is the total number of people considered to have a housing need? There are 60,000 households on rent supplement. They are required to have a housing need in order to qualify for rent supplement. Not everyone on a local authority housing list is on rent supplement. The Minister of State gave the figure for those on local authority waiting lists and in receipt of rent supplement as 13,778. This leaves 30,000 households on local authority housing lists and not on rent supplement. This means the minimum number of households with a housing need is not 43,000, which figure the Minister of State repeatedly cites, but 90,000.
Can the Minister answer the question I asked? What is the total number of people considered to have a housing need? How many people cannot meet their housing needs from their own resources and require assistance from the State?
Noel Ahern (Dublin North West, Fianna Fail)
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I have given Deputy Gilmore the figure from the housing needs assessment.
Eamon Gilmore (Dún Laoghaire, Labour)
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That is not what I asked for. If I had wanted to know about the housing needs assessment I would have stated that in my question.
Noel Ahern (Dublin North West, Fianna Fail)
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That is the official method of calculating housing data. There is no total figure such as the Deputy requires.
Eamon Gilmore (Dún Laoghaire, Labour)
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Does the Minister of State not know the figure?
Noel Ahern (Dublin North West, Fianna Fail)
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One can play around with figures and say that a certain number of people need State assistance. That assistance is being provided.
Eamon Gilmore (Dún Laoghaire, Labour)
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To how many is it being provided? There are 60,000 on rent allowance. Do they not have a housing need?
Noel Ahern (Dublin North West, Fianna Fail)
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Yes. Approximately half of them have a long-term housing need.
Eamon Gilmore (Dún Laoghaire, Labour)
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They have a housing need. Otherwise they would not be getting rent allowance.
Noel Ahern (Dublin North West, Fianna Fail)
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Some have a short-term housing need.
Eamon Gilmore (Dún Laoghaire, Labour)
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There are also 30,000 on local authority lists who are not in receipt of rent supplement. That makes 90,000. How many more are there?
Noel Ahern (Dublin North West, Fianna Fail)
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One could add figures together and make 80,000 or 90,000. However, those people's needs are being met in many ways.
Noel Ahern (Dublin North West, Fianna Fail)
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Rent allowance is a way of meeting their needs. The Government has spent €400 million on rent allowance. Some people may have a temporary housing need and many have a long-term wish for a local authority house. By adding various figures together one can arrive at a high number. Nevertheless, the figure cited in the official triennial needs assessment is 43,684. Approximately 43% of those are single person households.
Eamon Gilmore (Dún Laoghaire, Labour)
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What has that to do with anything?
Noel Ahern (Dublin North West, Fianna Fail)
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Some commentators may multiply the number of households by as much as eight and come up with an enormous number of individuals in need of housing. The number of single people in need of housing has increased in the past ten years. Knowing that fact helps in planning appropriate housing provision. Three bedroom semi-detached houses may not be appropriate for everyone.
Eamon Gilmore (Dún Laoghaire, Labour)
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No one said that.
The Minister of State is avoiding my question. I want to get an overall picture of the number of households with a housing need. How many households cannot meet their housing needs from their own resources? For a long time, the Minister of State has farmed out all kinds of figures to mislead the public on this question. He has done so again today. The 60,000 households on rent allowance have a housing need. According to the Minister of State's answer, there are 30,000 households on housing lists but not on rent allowance. That makes 90,000 households. Is 90,000 the totality?
Is the Minister of State happy at that net result? If not the final sitting day of this Dáil, it is the last day on which we will have environment questions. On the final day on which the Minister of State answers to the House for the stewardship of his ten-year-old Government, is he satisfied that 90,000 households in the State cannot meet their housing needs from their own resources? Of those households, 60,000 are in receipt of rent allowance and 30,000 are waiting on local authority housing lists.
Noel Ahern (Dublin North West, Fianna Fail)
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Need is one thing and want another.
Noel Ahern (Dublin North West, Fianna Fail)
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Many of those people are having their needs met.
Eamon Gilmore (Dún Laoghaire, Labour)
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They are not. The State says they have a housing need.
Noel Ahern (Dublin North West, Fianna Fail)
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Their needs are being met. Many are in the finest rented accommodation recently built.
Eamon Gilmore (Dún Laoghaire, Labour)
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The taxpayer is subsidising their landlords.
Noel Ahern (Dublin North West, Fianna Fail)
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That might be. It is the role of the State to subsidise——
Noel Ahern (Dublin North West, Fianna Fail)
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——and help people to find housing they cannot provide from their own resources.
Eamon Gilmore (Dún Laoghaire, Labour)
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It is to provide social housing.
Noel Ahern (Dublin North West, Fianna Fail)
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This year alone, we are to spend €1.5 billion to provide social housing. We expect approximately 6,600 local authority starts and up to 2,000 starts in the voluntary sector. Resources have increased in each of the last few years and by 9% this year. The undertaking in Towards 2016 is that over the next three years, 27,000 new social housing units will be started. A great deal of work is being done. Even if it is of a temporary nature while they wait for full-time provision, many of the people in question are housed in very fine accommodation.
Not everyone will be able to get a local authority house. The Deputy will know about the rental accommodation scheme under which, according to the contract negotiated, people will be provided with houses for five-year or ten-year periods rather than for eternity. One does not necessarily have to own a house or be provided with a local authority house to have one's needs adequately met.
Eamon Gilmore (Dún Laoghaire, Labour)
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The Minister is out of touch. It is time to go.
Arthur Morgan (Louth, Sinn Fein)
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Question 3: To ask the Minister for the Environment, Heritage and Local Government if his attention has been drawn to the fact that there are approximately 3,000 households on the social housing waiting lists for County Louth local authorities and that this has been the case for ten years; his plans to rectify this unacceptable situation; and if he will make a statement on the matter. [13817/07]
Noel Ahern (Dublin North West, Fianna Fail)
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The most recent assessment of social housing needs was undertaken by local authorities in March 2005. The results of the assessment indicated that 1,492 households were in need of housing in the three County Louth local authority areas. More comprehensive data from the 2005 assessment was published in the 2005 annual bulletin of housing statistics, a copy of which can be made available or found on my Department's website.
The Government is providing local authorities with the necessary resources to address housing needs in their areas. The programme of investment and policy priorities reflected in Delivering Homes, Sustaining Communities underpin the approach to increasing housing investment as set out in the National Development Plan 2007-13. The NDP envelope provides for an investment programme of approximately €21 billion, including €3 billion for rent allowance. As agreed in Towards 2016, 27,000 new social homes will be commenced or acquired and 17,000 new affordable units delivered in the initial 2007-09 period. The resources being made available under the NDP will allow for similar levels of activity post-2009. In total, it is estimated that the needs of approximately 140,000 households will be met over the full period of the national development plan.
Last year my Department provided the three local authorities in Louth with record funding of over €37 million for their housing construction and acquisition programmes. The provision represented an increase of €8 million on the funding provided in 2005. The provision enabled the three authorities to start construction of and acquire over 400 housing units and to complete and acquire almost 240 dwellings in 2006. My Department has met with all local authorities this year in the context of their proposed housing programmes for the next three years under their individual action plans.
Arthur Morgan (Louth, Sinn Fein)
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Does the Minister of State accept that at the assessment point in 2005, many households were struck off the housing lists for failure to apply quickly enough to a local authority or, if they replied, because some minor error was detected in their applications? It is the case that thousands of people were struck off the list or not counted. Does the Minister accept that over the past ten years, the average number of people on County Louth local authorities' housing lists has been approximately 3,000, to which level they have returned notwithstanding the 2005 difficulties?
I acknowledge the enthusiasm and conscientiousness of the current county manager who has a genuine interest in housing provision, unlike her predecessor. Her genuine concern is improving the scenario in County Louth and it is only fair to acknowledge her efforts and those of her staff to meet the crisis. Does the Minister of State have a plan to deal with the Louth housing lists which have remained at such a significant average level during his ten-year tenure?
Noel Ahern (Dublin North West, Fianna Fail)
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We have a plan as demonstrated by the new policy we announced some time ago. There are also individual action plans and strategies in the local authorities, for which the Department provides resources. The experts are the people on the ground at local authority level. It is good to hear the Deputy's comments on the county manager. Where officials and councillors really wish to drive these issues, progress can be made.
On the striking off of households, the local authorities told us they went to great lengths to contact people on the housing lists. Some people move around through the rent allowance scheme and end up acquiring multiple addresses. I am not sure if there are three separate housing lists in Louth. My constituency straddles the city and Fingal local authority areas and I tell people to register on the lists in both. If there were three lists in County Louth, an assessment to establish the net figure will have resulted in a co-ordination of the names on all of them. We do not consider figures on a monthly basis because while they are much higher, they are not verifiably correct. Most of the names will have been removed from the list in Louth because people were on more than one list. The figure of 43,000 was not equal to the sum for all three local authorities.
We are providing very significant resources amounting to €1.5 billion this year. Over the last couple of years, funding for local and voluntary social housing has increased significantly, especially in the context of the NESC report and the commitments in Towards 2016. Funding has increased by 9% this year and a commitment has been made to provide 27,000 social housing units in the next three years, a figure far in excess of the total provided in the recent past.
Rory O'Hanlon (Cavan-Monaghan, Ceann Comhairle)
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Question No. 4 has been submitted in the name of Deputy McCormack. While there is no precedent for allowing a question to be taken in the absence of the Member who submitted it, I accept that confusion was caused by the change to the Order of Business this morning. Priority questions were not supposed to be taken until 4 p.m. In fairness to Members and without establishing a precedent, I will allow Deputy O'Dowd to take Deputy McCormack's question.