Michael Finneran (Roscommon-South Leitrim, Fianna Fail)

I accept Senator Bacik's argument but I must be practical in what I say in response. It would be great if Senator Bacik could tell me where she can buy a house for €125,000 in Dublin city at the moment but no such price has come across my desk in the Custom House. The current regime is a great improvement on the previous regime. First-time buyers must live within their means. They buy at various levels in the market - or they did, given that there is not much activity in the market currently. I do not see how one could say the change is an imposition on first-time buyers based on the threshold of €125,000. The regime is reformed on the basis of the figures I outlined. I do not accept that an extra imposition is being made on anyone as the changes are of benefit.

The new rates will apply to properties transferred on or after 8 December 2010. A transition measure will be put in place to ensure that anyone who has entered into a binding contract to purchase a property before 8 December 2010 and who executes the transfer of that property before July 2011 will not be at any disadvantage. That is the bottom line on this particular matter.