Fergal Browne (Fine Gael)

The solicitors will not be happy. The main thrust of the Bill is welcome. The purchase and registration of land is far too complicated. I was amazed to learn recently of a person in County Carlow who went to Australia where he is now building houses. Everything there can be done so quickly and without the assistance of a solicitor. This person received planning permission to build a swimming pool within a few hours. Perhaps we can learn from this example and make the process far less complicated by cutting out the middle people.

I was surprised to learn about the interest rates, as mentioned in the Minister's speech. As someone who has been accustomed to interest rates of 2% or 3%, it is difficult to comprehend that rates were as high as 18% in the 1970s, for example. It is possible that some people who are in arrears may have a case to make. The Minister alluded to the fact that those interest rates would be completely uncompetitive in comparison to what pertains in today's market. Perhaps there is scope in that way to make allowances for certain people who are in arrears and paying high rates.

I agree with the main thrust of Senator Coonan's speech in that I also welcome the Bill but disagree with some elements. I expect a debate on Committee Stage for the purpose of raising the threshold levels. I welcome the development with regard to GAA clubs but, although it is unlikely that such a scenario would arise, perhaps guarantees can be included that clubs or other sporting organisations cannot sell their land within a short time. It is possible that it might suit a club to purchase the land and then sell it off for a quick buck. This should be safeguarded against by inserting a time clause in the case of voluntary organisations, although it is unlikely such a measure would ever need to be invoked.

The Minister mentioned the value of land with regard to the land purchase annuity buy-out incentive. It is a good package in some respects, incorporating a 25% reduction, and the substantial increase in the value of agricultural lands makes it attractive for most, if not all, farmers to restructure debts and improve their financial positions. However, the Minister should allow some scope to consider every individual case. In my own county, for example, land near Carlow town has become exceptionally valuable while land in other parts of the county, such as near rural Hacketstown or Mount Leinster, is worthless in terms of potential development, although priceless to the owners.

An issue that is key to my constituents is the capital gains tax element, to which Senator Coonan referred, with regard to motorways. This is an issue that should be reconsidered by the Minister. It is unfair that a person whose land is the subject of a compulsory purchase order should then have to pay capital gains tax. The Government gave a commitment in this regard before the last election which it subsequently broke. Nobody wants a motorway through his or her land. The major inconvenience of having a farm divided in two is somewhat offset by the attendant financial compensation. It is unfair to receive a compulsory purchase order and to be subsequently presented with a tax bill.

Senator Callanan raised the issue of the sugar beet industry. County Carlow is the location of one of two sugar factories in the country. I am sure the Minister will have talks with the new Commissioner for Agriculture and Fisheries to ensure Ireland retains its quota and its two companies. The Minister may not be familiar with the sugar beet industry but if one considers all the beet growers in the south east, the hauliers and the seasonal workers, the number is quite substantial. I hope the Minister bears this in mind when she is negotiating at the EU.