Seanad debates

Wednesday, 26 May 2004

5:00 pm

Photo of Noel AhernNoel Ahern (Dublin North West, Fianna Fail)

——of these were met last year.

The budget, Exchequer and non-Exchequer, for social and affordable housing in 2004 is €1.884 billion, which represents an increase of 5.4% on the previous year. Inflation is running at just 1.7%. This additional funding will allow us to consolidate the very significant progress made in recent years and to maintain a very high level of commitment to social and affordable housing.

On the provision of local authority housing, the Government has been very conscious of the increased level of social housing need. As I stated, the last official figure for those on local authority housing lists was 48,413. I agree with Senator McCarthy that if one analyses those on the list, one will find that 32% of them are single. Some 30% more are lone parents with one child and the remaining 40% comprise traditional families. When one considers the numbers, one is not comparing like with like because one would not have had this many single people on the list in the past. They would not have been eligible. Until about ten years ago, the only single people that were ever eligible were senior citizens. Now, however, we allow others on to the list.

I agree that local authorities are very slow to adapt to the new circumstances. They will talk to one and tell one the make-up of the list, yet they will send in their plans for 20 new houses and revert back to the same traditional 20 three-bedroom semi-detached houses. Local authorities look at the list and know who is on it. The plans that are submitted should have regard to local need and should not just refer to traditional three-bedroom semi-detached houses.

As I said, 32% of those on the list are single, many of whom are men, including separated men. We are not catering adequately for them. We are inclined to allow the private rental market look after them. Local authorities should be more innovative and recognise what is at stake. I agree with the Senator's point in this regard.

I have asked local authorities to put in place five-year action plans covering their full range of housing programmes. These plans, to be agreed with my Department, will ensure that a fully strategic approach is taken by local authorities and ensure that they avail of the certainty provided by multi-annual expenditure programmes. Last year, local authorities, on their own, completed or acquired 4,972 housing units. This is an indication of how they have successfully accelerated their programmes to meet existing demand.

Furthermore, the voluntary sector was mentioned. In this regard, over 1,600 units were provided last year. Many of these concern some of the newer, bigger housing associations, but about half of them are very small housing associations from around the country which are providing for the elderly and those with special needs. They are receiving a grant of 90% or 95% from the Department and they are doing some very useful work. This allows local communities do their bit to help the elderly or those with special needs.

The affordable housing scheme is working. Over 9,500 households have benefited from the shared ownership and affordable housing schemes in the past four or five years. This number is increasing as more affordable housing units come on stream as a result of agreements under Part V of the Planning Act.

However, no magic wand can be waved to give a quick response on the housing issue. Senator Tuffy mentioned the 1999 local authority scheme. Last year more than 1,500 people got affordable homes under that scheme. It takes a couple of years to get anything done on housing. However, that is now very valuable.

I have been around the country and was in Westmeath a few weeks ago where the best of affordable three-bedroom houses were selling for €122,000 to €125,000. Even three miles from here in my constituency in Finglas, two or three weeks ago I opened some affordable sites, where a number of small infill units on local authority land were selling for €150,000 to €200,000, which represents very good value. The same is true of South County Dublin and Fingal. These houses are for people earning less than €32,000 per annum.

Work is progressing on the new affordable housing initiative under Sustaining Progress. The Government made two announcements in July and December 2003. There is no point in people trying to make every number sound big and trying to claim these announcements were made two years ago or were in our programme for Government when they were not. In July and December last year we released various tracts of State land in Dublin, Kildare, Meath, Cork and Waterford. With these sites and what will come under Part V of the Planning Act, the sites announced to date will give 6,100 affordable units. However, they will take time to come on stream.

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