Dáil debates

Wednesday, 14 May 2025

Saincheisteanna Tráthúla - Topical Issue Debate

Defective Building Materials

2:00 am

Photo of Rose Conway-WalshRose Conway-Walsh (Mayo, Sinn Fein)
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How much more do homeowners impacted by the defective blocks in Mayo and other counties have to endure, whether they have partially completed their rebuilds or whether they are trying to get into the scheme? At every age homeowners are given assurances that they would not be disadvantaged by the timing that they entered the schemes. Now homeowners, who are in the middle of rebuilding their homes and lives, have been told that they have to wait for legislation to be prepared and passed to enable them to avail of the higher rates. It is utterly disgraceful that these homeowners are being treated like this. It is clear that the scheme is not fit for purpose and in many cases only provides for 70% or less of the costs of remediation. Too many of the impacted homeowners are locked out of the scheme because of affordability. If there is to be any fairness in this whole scandal, the Government must provide retrospective redress, must end the damaged threshold being used as a barrier to the scheme and must amend the scheme to allow impacted homeowners to access upfront payments to commence remediation works. The Government must allow the flexibility and timelines from start to completion. It must make the increase in the cap for the defective blocks scheme to be opened to all affected homeowners, not just the new entrants. It must ensure that those responsible for the manufacturing of defective blocks are held to account, that a full public inquiry is held into the defective material and how it was sold into the housing markets and that the industry must contribute to the overall cost of the remediating of defective properties. Where is the scheme for the council houses and approved housing bodies, AHBs? Many questions need to be urgently answered regarding this scheme.

Photo of Pádraig Mac LochlainnPádraig Mac Lochlainn (Donegal, Sinn Fein)
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Last year, the then Government finally announced an increase in the cap. It was in line with the recommendations of the Society of Chartered Surveyors Ireland, who examined the real costings on the ground. The reality is that the Government did not apply that to people who are going through the scheme already; it was only for new entrants. That was cruel. The Government made it clear that it was going to amend the legislation to sort this out. I appealed to the Government to do that before election. I stood in front of the Taoiseach and Tánaiste separately and appealed to them to bring in the amendments. We would make time and it could be done. I feared that this would happen. Unfortunately, I have been proven right. We are now sitting in May and there is no sign of this amendment to the legislation. It is straightforward. I raised this directly with the Minister, Deputy James Browne, who was in County Donegal in recent days. I made it clear to not talk about ten Stages of legislation. We will do everything in the Opposition to get this through. No pre-legislative scrutiny will be required if the Government honours what it said it was going to do last year, which was to make this increase in the cap available to everybody who is currently going through scheme. This is really cruel. People are struggling with the €40,000, €50,000, €60,000, €70,000 or €80,0000 plus that they must find themselves. They do not have the money to make the final payments to pay the builders. This is urgent. It has been urgent since late last year. I appeal to the Government now to bring this through as soon as possible. It should be brought through it through next week. It will be facilitated by the Opposition in every way. We will do everything we can to make it happen next week in the Dáil and Seanad; there is no excuse. This is a simple straightforward amendment to the legislation. It should have been done late last year. It needs to be done now.

Photo of Kieran O'DonnellKieran O'Donnell (Limerick City, Fine Gael)
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I wish to thank the Deputies. There were three Deputies down. Is Deputy Pearse Doherty absent?

Photo of Pádraig Mac LochlainnPádraig Mac Lochlainn (Donegal, Sinn Fein)
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He is absent.

Photo of Kieran O'DonnellKieran O'Donnell (Limerick City, Fine Gael)
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That is fine. I thank Deputies Conway-Walsh and Mac Lochlainn for raising this matter, which I am taking on behalf of the Minister for Housing, Local Government and Heritage, Deputy James Browne. As the Deputies will be aware, the Remediation of Dwellings Damaged by the Use of Defective Concrete Blocks Act 2022, which commenced on 22 June 2023, contains the current grant scheme and the related regulations that were adopted on 29 June 2023. Following updated costs reports that the Department received from the Society of Chartered Surveyors Ireland and advice from the expert group, a 10% increase in the overall scheme cap, which Deputy Mac Lochlainn acknowledged, was brought forward in October 2024, raising the cap from €420,000 to €462,000 for all homeowners yet to receive a grant determination by that date. It should be noted the grant scheme grant rates were also examined and increased to between 7.4% and 8.7% in November 2024.

The cap increase is in line with the provisions of the Act as set down by the Oireachtas, which allows for a maximum increase of 10% in the overall scheme cap. The Act also provides that any increase in the scheme cap or grant rates will apply to eligible relevant owners that are yet to receive a determination in respect of remediation option and grant amounts. The Department sought legal advice that confirmed that extending these increases to a wider group of relevant owners requires amending the Act. In the interest of equity and fairness, the Minister intends to extend the increase in the scheme cap and rates to apply to a wider group of relevant owners. This will be examined as part of the remediation of dwellings damaged by the Use of Defective Concrete Blocks (Amendment) Bill, which has been included in the summer 2025 Government legislative programme for priority drafting.

A number of other matters have come to light during the first 18 months of the operation of the scheme and the Minister will also consider a number of technical amendments as part of this legislative change. These changes will assist in the efficient administration of the scheme and will enable the smoother operation of the grant scheme for applicants. As Deputy Mac Lochlainn referenced, the Minister met with various stakeholders in Donegal on Monday, 12 May, including representatives from the Mica Action Group, along with a large group of Donegal county councillors and senior management of the council. The Deputy acknowledged that he met with the Minister. Each group raised important matters, including the need to extend the eligibility of the cap and rate increase to a larger group of homeowners. The visit demonstrated to the Minister first-hand the real difficulties homeowners are facing. It was further impressed upon the Minister the continued importance and contribution of the defective concrete blocks scheme in helping them to fix their homes and move on with their lives.

The Government is committed to assisting homeowners to remediate damage caused by defective concrete blocks. The grant scheme was put in place to help people to fix their homes and move on with their lives. The scheme is working and real progress is being made. At the end of April 2025, there were 2,697 applications to the grant scheme, with 162 homes where remediation works had been completed and a further 824 where work has commenced. The Government understands that this can be a difficult and challenging time for homeowners. On a human level, I expect that it is very difficult for people. The Department continues to work with key stakeholders on the operation of the scheme, including the relevant local authorities, the Housing Agency and the homeowner’s liaison officer where the concerns of the homeowners came to the Department.

To deal with a point that Deputy Conway-Walsh referenced, a draft of the defective concrete blocks social homes scheme for local authorities and AHBs affected by defective blocks is being finalised. The scheme will include grant rates and caps as outlined in the private scheme for homeowners. The scheme will apply to local authorities and AHB homes located within designated local authorities. The Department of Housing, Local Government and Heritage will apply approach to focus on efficiencies and the best use of limiters available to undertake the mediation works.

Photo of Rose Conway-WalshRose Conway-Walsh (Mayo, Sinn Fein)
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The Minister of State said that the Government understands that this can be a difficult and challenging time for homeowners. I am sorry but he does not and the Government does not. I am glad the Minister went to Donegal but my god you would have to be hiding under a rock for the past 15 years to not know that this was one of the biggest scandals that has ever faced this country. The Minister of State has not answered the question. When is the legislation going to be amended? I am dealing with families who are really suffering. They are at a loss of tens of thousands of euros. I know a couple who are getting married later in the summer and they want answers. We have said in opposition that we will facilitate - day or night - the legislation to go through.

I do not care, and I know the same goes for Deputies Mac Lochlainn, Doherty and others, whether it is the middle of the night, the weekend, whenever we have to get this legislation through, we have to get it through in days. We cannot continue to wait for weeks and months.

2:10 am

Photo of Pádraig Mac LochlainnPádraig Mac Lochlainn (Donegal, Sinn Fein)
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I am really concerned with this response written by the Department officials. The people who wrote this were present in Donegal in recent days. They know the urgency of this. Now they are talking about adding other issues to the amendments. This could go on forever.

This is straightforward. It is a simple amendment to the legislation to make sure that the increase in the cap is available to everybody currently participating in the scheme, not just the new entrants. It is a really straightforward matter. It should be urgently done as a stand-alone amendment. It was made clear to the Minister. I do not know why he would have any doubt about this. There are not ten Stages of pre-legislative scrutiny. This is something that everybody, both Opposition and Government, agrees on. If the Government honours what it said it was going to do last year, which is make the increase available to everybody currently going through the scheme, it will fly through the Dáil and the Seanad next week without a problem. It needs to be done urgently. Please, do not now add on other issues that will drag it on for God-knows how long. What is happening to families is cruel. It needs to be sorted out.

Photo of Kieran O'DonnellKieran O'Donnell (Limerick City, Fine Gael)
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I thank both Deputies. I understand the frustration for people in these areas. As I already stated, the Minister and the Department sought legal advice that confirmed extending the increases the Deputies are talking about to a wider group of relevant owners requires amending the Act. I think everyone is agreeable on that. In the interest of equity and fairness, the Minister intends to extend the increase in the scheme cap and rates to apply to a wider group of relevant owners and this will be examined as part of the remediation of dwellings damaged by the use of defective concrete blocks (amendment) Bill. As Deputy Mac Lochlainn will know as Whip, that is in the summer 2025 Government legislative programme for priority drafting.

Photo of Pádraig Mac LochlainnPádraig Mac Lochlainn (Donegal, Sinn Fein)
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It was in the spring one, too.

Photo of Kieran O'DonnellKieran O'Donnell (Limerick City, Fine Gael)
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I can only deal with what is the position now. It is down for priority drafting. The Minister is taking this matter very seriously. As indicated, a number of other matters have come to light during the first 18 months of the operation of the scheme and the Minister will consider a number of technical amendments also as part of this legislative change. These changes will assist in the efficient administration of the scheme and will enable the smoother operation of the grant scheme for applicants. I have no doubt Deputies Conway-Walsh and Mac Lochlainn have brought these matters to the direct attention of the Minister. I will do likewise and the officials will be watching the debate. I note, on a human level, the concerns of the constituents the Deputies represent. These are matters I will bring directly back to the Minister.