Larry Butler (Fianna Fail)

I welcome this legislation, which sets new standards for the auctioneering and property sector. Everybody will agree that the Property Services (Regulation) Bill 2009 is long overdue. It provides for the replacement of the current system of regulating auctioneers and house agents with an updated system of regulation of all property service providers, including auctioneers, letting agents and property management agencies. It also provides for the establishment on a statutory basis of the new property services regulatory authority, which will control and supervise property services and ensure they are provided to improved standards.

The introduction of legislation of this nature will increase the confidence of those who use property services. Not only will service providers have to meet the standards that will be set out, but the consumers of these services will also be entitled to such standards. This is long overdue. The authority will investigate complaints relating to the provision of property services and adjudicate on them. A property services compensation fund will be established to compensate those who suffer financial loss as a result of dishonesty. We all know that sharp practices have been a feature of the property business for many years. I am being generous when I refer to certain activities as "sharp practices". This legislation will ensure that new standards apply to the benefit of consumers. That is vitally important.

The main function of the proposed property services authority will be to operate a comprehensive system of licensing of the providers of property services, including auctioneers, letting agents and property management agencies. The authority will enforce the standards outlined in this Bill. I have reservations about the establishment of new bodies like this one. We complain all the time about the proliferation of quangos. There are almost 1,000 of them in Ireland. Perhaps it would be more appropriate for the functions of the proposed property services authority to be given to the existing Private Residential Tenancies Board. We need to avoid duplication. I think my proposal for administering the system is worthy of consideration.

It is important to emphasise the need for action to be taken in respect of the open spaces beside multi-unit developments, such as apartment blocks. I appreciate that this legislation does not relate to such matters. A new Bill is to be introduced to regulate the sector in question. We are all aware of the type of abuse that is taking place. No regulations have been introduced to date. Every multi-unit complex has a different property management organisation with its own rules and regulations. There are no overall standards. It is important to take action in this regard as soon as possible. In some cases, people have to pay €3,000 or €4,000 per annum for property services in their estates. One might not have to pay that much each year for one's mortgage. If the Government decides to introduce a property tax, it will have to reflect on the position of those who are already paying property service charges. It would be almost impossible to impose a further charge on those living in multi-unit developments. I welcome the introduction of better standards, which are needed. I welcome the Bill and I thank the Minister of State for bringing it to the House. We will get another opportunity to deal with certain aspects of it.