Catherine Ardagh (Fianna Fail) | Oireachtas source

Go raibh maith agat, a Leas-Chathaoirligh.

I would like to again raise an issue in relation to Dublin City Council's budget. I would like ask formally for the Minister to plug the hole that is going to be left. There is going to be a huge deficit left in the council budget. I understand that on Monday night, the chief executive, Owen Keegan, will be asking the councillors to approve a budget which will result in an increase in parking charges, tolls, social housing rents and commercial rents for next year. In a report that Mr. Keegan has given to councillors ahead of the budget discussion on Monday night, he said there are inadequacies in funding from central Government, and that this means that local councillors are going to have to vote on a different budget which will result in the huge increases I just described. In particular, he said the council would lose income of €8.4 million on Irish Water-owned properties and would not be compensated centrally by Government despite assurances to the contrary given by the Minister, Deputy Eoghan Murphy. As a result, councillors will be asked to pass a budget which will include a 36% rise in the East Link toll, average social housing rents increases of €160 a year, a rise in business rates of 1.5% and the second hike in on-street parking fines. If all of these hikes come to pass, Dubliners can thank the Minister, Deputy Eoghan Murphy, for the hit to their pockets. If the Minister made promises and assurances to Dublin City Council, he should stand over them. This hole should be plugged centrally rather than by giving Dubliners another kick.

The second issue I would like to raise relates to mortgage rates. We know that people pay a lot more in rent than they do in mortgages. However, those who are fortunate to have a mortgage pay nearly twice as much as their European counterparts. Some people in Ireland are on interest rates of up to 5%, and they are lucky to have a mortgage. Previously, I raised the value of switching mortgages but people are afraid to do so. Maybe they have changed jobs or maybe they feel so lucky to have gotten a mortgage in the first place, but people need to know that there can be serious benefits over the term of the mortgage, that lump sums can be provided and that interest rates can be reduced. People need to look at switching. The number of switchers is very low even though there is a lot of value to be had out there.

Many families are paying €2,000 to €3,000 each month on their mortgages, and they are paying €2,000 per month in crèche fees, if they have a young family, so they are really struggling and really squeezed. We need to put a lot more pressure on the banks to explain why rates are so high and why Irish consumers are crucified so much.