Alice-Mary Higgins (Independent) | Oireachtas source

The fundamental problem with the open market being included is exactly as Senator Warfield has outlined, in that these houses cost any amount. There is an element of a blank cheque to this. When we talk about affordability, most people's understanding of it is we will be setting a ceiling on the price of houses and there will be houses at a price affordable to purchasers.

However, what is not envisaged are situations in which local housing authorities or others have to purchase houses for €600,000 or €700,000, or have to purchase houses on the open market. It is not meant to be a floor. I am concerned there are provisions in this Bill which act effectively as a floor for the property market in terms of a guaranteed amount of payment, rather than a ceiling which would put an amount over which people should not be asked to pay.

I am concerned about the open market in this regard for the same reasons, that is, there are no parameters or clear ceiling in terms of the open market. There is also a concern we could be, and should be, providing much of this affordability as an obligation through Part 5.

I am concerned, and will come to it later, that there seems to be a similar dynamic within Part 5. That is not so robust or strong, in terms of setting the price of the houses at an affordable level, without guaranteeing public supplement, which could allow it to inflate. The open market being included in this is potentially of concern. I am worried we may see the provisions in this Bill acting as an aid to property owners. I think there may be an argument, in terms of later amendments, in exceptional circumstances. However, in general, the open market is not in these circumstances because the market has its own priority, which is the maximisation of return.