Áine Brady (Kildare North, Fianna Fail)

I thank the Senators for their remarks. They have made a significant and an important contribution to this Bill. It is the better for such consideration and the local authorities will benefit from its enactment. We look forward to a revitalised local government system with the introduction of this new local government charge.

Senator Coffey raised the issue of holiday homes and this matter will be kept under review. The Minister wants to encourage the maximum uptake of the rental accommodation scheme and that is why the owners of such properties are exempt from the €200 charge. It is established Government policy to facilitate the migration of persons from the supplementary welfare allowance scheme to the rental accommodation scheme and the latter is a more satisfactory and cost effective way of meeting our social housing needs. The supplementary welfare allowance scheme is demand-led and it is difficult to guarantee housing standards in that regard. It can lead to undesirable concentrations of such dwellings in certain communities. The rental accommodation scheme is a more cost effective scheme for both landlords and the State. Because landlords do not have to incur the same level of vacancies between lettings, the State can guarantee a stable flow of tenants and in return landlords are prepared to give a discount to the State for this reason. Even though there is a loss of revenue to the local authorities in this respect, because of the cost effectiveness of the rental accommodation scheme, it has been decided at the moment to give an exemption in respect of this charge.