Michael Murphy (Tipperary South, Fine Gael)
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I raise the national challenge of vacancy and dereliction in our towns and villages. In my own constituency of Tipperary South we see it clearly.

Towns like Clonmel, Tipperary town and Carrick-on-Suir are three of our key towns and all have prime retail streets with empty or derelict properties. Unfortunately, this is replicated right across the country. These are proud places with strong employment bases, great community spirit, and real potential but vacancy and dereliction are holding them back. The Taoiseach has said on many occasions that everything is on the table when it comes to addressing our housing and investment challenges, and particularly the role private investment can play in delivering apartments and mixed-use developments. This must include and be linked to tackling vacancy and dereliction. I believe there is a real opportunity for reform of the current regulatory and grant framework to address this challenge more effectively.

While I am aware of the understandable caution regarding tax incentives as a policy tool, I would ask the Government to consider a tightly targeted measure in this very specific context. Tax relief would be linked exclusively to the redevelopment of the derelict or vacant property in question and not to any other property holdings of the developer. Should relief, for example, be applied to future rental income from the redeveloped property ensuring any benefit is directly tied to the productive use of the asset? These properties currently generate no economic return for their owners, for the local economy or for the Exchequer. In the midst of a housing shortage returning them to productive use, whether for commercial or residential purposes, is a clear public good. If nothing is done then vacancy will remain stubbornly high, eroding the economic and social vitality of our towns and villages. By contrast, a focused and time-bound intervention confined to prime retail areas could trigger significant private investment, deliver new housing, and revitalise the very heart of our towns without creating a long-term financial risk. Will the Minister commit to reforming the regulatory and grant framework and consider new targeted measures so we can finally turn vacancy and dereliction into an opportunity?

Jim O'Callaghan (Dublin Bay South, Fianna Fail)
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I thank Deputy Murphy very much for his question. I very much share his concerns about the impact that vacancy and dereliction can have on our towns and cities throughout the country. It can create the impression of a downturn in that area and this has an impact not just on the local community but in terms of the development of business in the area. I commend Deputy Murphy on coming forward with proposals in respect of tax reliefs and issues such as that. I cannot give the Deputy any assurance today on his proposals, and I know he would not expect me to, but I certainly will pass them on to the Ministers Donohoe and Browne, who are the relevant Ministers and who can appraise the Deputy's suggestion.

It is important to point out that we got new data today from the Central Statistics Office on vacancy and dereliction for the years 2022 and 2023. I am pleased to say they indicate a national vacancy rate of 3.3% at the end of 2023. This is a drop from what it was in 2022 when it was 3.6%. Vacancy appears to be declining based on the statistics that are available from the Central Statistics Office.

I want the Deputy to be aware, and I know he is, that there are already a range of measures being taken by the Government to address vacancy and dereliction. It is my belief, and that of the Government, that they are having real success. The type of measures I am talking about are the vacant property refurbishment grant; the repair and leasing scheme; the €150 million urban regeneration and development fund, URDF, which is a revolving fund, for local authorities; the planning exemptions for conversion of vacant commercial properties; and full-time vacant home officers in every local authority across the country. From what the Deputy is saying about the towns and villages in his constituency, such as Clonmel and other towns and villages, it may not be the case that all those schemes have been availed of. I ask the Deputy to give consideration, or rather that the local authority in Tipperary give consideration, to availing of those schemes because they are very important. They are very useful and effective in responding to dereliction.

At the end of June over 13,700 vacant property refurbishments grant applications were received, there were almost 10,000 approvals, and over 2,800 grants were issued as refurbishment works were completed. This amounts to approximately €155 million paid out to support people in bringing empty dwellings back into use as homes. These are just some of the measures that are being effected at present.

I will report back to the Ministers Donohoe and Browne the Deputy's proposal in respect of tax reliefs. Obviously these can be difficult to craft and sculpt for the purpose of legislation. I note the Deputy's suggestion that it should be limited to the specific property that needs to be brought back into use but it is something that will be given consideration by the Government.

Michael Murphy (Tipperary South, Fine Gael)
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I thank the Minister for his reply but the reality is that despite these existing schemes vacancy and dereliction remains stubbornly high. Failure to act now will mean that these empty buildings continue to blight our main streets year after year while a housing crisis deepens. I am calling for a specific ring-fenced approach, reform of the existing regulatory and grant system, and a targeted relief that applies where a building is actually brought back into use. In the midst of a housing shortage, returning them to productive use is a public good. This is also about restoring our towns, creating houses, creating jobs and giving our communities the confidence they deserve.

Jim O'Callaghan (Dublin Bay South, Fianna Fail)
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We certainly do need to return all derelict properties to use, and preferably residential use. We all know the time it takes to construct new dwellings. If we have derelict dwellings in our towns and cities we need to get them back into use as quickly as possible. I cannot give a commitment in respect of the proposals the Deputy is making here this afternoon but, as I said, I will raise it with the relevant Ministers. It is, however, important to note some of the areas that have had the benefit of regeneration. A regeneration revamp on the Main Street of Carrick-on-Suir is expected to start at the end of 2026. It will also be a beneficiary of the €14.39 million under the town and village renewal fund. There is work being done. The Government recognises the importance of ensuring we have renewal within our towns and cities. We will certainly take into account the proposals the Deputy has put forward. Ultimately, however, there has to be an obligation as well on the owner of the property to put the property back into use. Too many people have property that is derelict. They should put them back into use for the public.