Seanad debates

Wednesday, 31 October 2007

4:00 pm

Photo of Dominic HanniganDominic Hannigan (Labour)

I welcome back to the Chamber the Minister of State. I appreciate the time given to a discussion of the housing market because the country is experiencing a housing crisis. An entire generation of people in their 20s and 30s is finding it increasingly difficult to enter the housing market.

Some Senators have spoken about the effect of interest rates on the ability of people to repay their mortgages and other Senators have raised the issues of stamp duty and of homelessness and the importance of catering for the less well-off members of society. Some Senators have referred to the downturn in the construction industry. I wish to highlight the issue of social and affordable housing.

Part V of the Planning and Development Act 2000 stipulates that 20% of homes in new developments are to be put aside for social and affordable housing. However, many developers are buying their way out of this clause and giving money to local authorities in lieu of the provision of these housing units. The result is fewer units of affordable housing are available for the people who need them most.

My party wants to see that loophole closed and we urge the Government to take action in this regard. We want an increase in the amount of social housing being built. I receive phone calls every week from people who are desperately in need of social housing. My office is aware of people who have been looking for housing for up to five years. I know of mothers who are forced to share not only a bedroom but their bed with their children because they cannot get a local authority house.

Senator Butler congratulates himself on the provision of an extra 6,500 units but this is not good enough. A total of 2,000 people are on the housing list in County Meath. I do not think his words of self-congratulation will do much for them.

My party has also suggested the consideration of ways to facilitate the refurbishment of older estates. The Alverno Heights estate in Laytown is in the constituency of Louth and was built 30 years ago. It is desperately in need of refurbishment but the Department has limited the amount of its contribution to the refurbishment of local authority estates from 100% of the cost down to 50%, with the remaining 50% to come from the local authority. At the same time, local authorities such as Meath County Council are not receiving the same amount of resources as other counties. Meath County Council receives percapita funding of 67% when compared with the national average. I find it difficult to work out how the Minister expects these local authorities to find the money to refurbish estates such as Alverno Heights without the Minister giving more resources to the county councils or paying the total cost of the works to be carried out.

The Labour Party has suggested a begin-to-buy scheme to help people who have just started working to start on the property ladder by part-buying a home in partnership with the local authority. It is expected that when they earn more in the future, they will be able to buy more of their home. Such schemes would help to increase the level of home ownership among this generation and I ask the Minister to consider introducing such a scheme.

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