Aideen Hayden (Labour)

I, too, welcome the Minister to the House and welcome the measures being taken, both in respect of the Keane report outcomes and the personal insolvency legislation. One aspect of the mortgage crisis I wish to bring to the Minister's attention is that of the group of people who "rent to rent", as the term has it. These are people who bought their properties during the height of the Celtic tiger period and for whom the Minister made provision in the last budget by giving additional mortgage tax relief. Many of this group, however, are forced for certain reasons to move out of the properties they bought and rent elsewhere. It may be that they work in other parts of the country, or because in the interim they have had children and must rent more suitable properties, or simply that they cannot afford the mortgages they have. They have moved out to go back to live with family and are renting out the homes they bought. There is a difficulty there because, as our current legislation is structured, they are not eligible to receive mortgage interest tax relief. On top of that, they are liable for the non-prinicipal private residence charge of €200. They pay income tax on the income they receive from renting their properties while getting a derisory amount of tax relief on the money they must pay for the properties they are renting.

We are all aware the housing market is currently moribund - the reality is we do not have a market. Mortgage lending is now down to the 1970s level. A group of people is trapped in the homes they bought during the Celtic tiger years. The Minister attempted to make provision for them in the last budget but because they are renting elsewhere, they are not eligible for the reliefs the Minister attempted to give them. Will he revisit this issue and give mortgage interest tax relief to persons who are not, for various reasons, living in the properties they bought at the time and are now paying the NPPR charge? Will he make this charge a real second homes charge? I am sure it was never envisaged that we should penalise people who have nothing other than one home with which, in many instances, they are trapped and on which they are paying very high mortgages.