Alice-Mary Higgins (Independent) | Oireachtas source

It is important to be very clear. I am not objecting to the concept of profits existing. Nobody objects to that part of business. The question is whether the State should be factoring in profit levels, dividend levels, reasonable levels of return and profit, and unnecessarily adding profit levels into our expenditure. I have no problem with private developers that wish to build houses and sell them for profit. So be it. I hope they will be appropriately taxed, but I have no problem with them doing that. My question is about the model of how the State develops. It is unfortunate that we still do not have a strategy for the deflation of house prices. That is the fundamental point here. We have runaway inflation in house prices and further runaway inflation is projected for the future, to the point where home ownership will move out of the reach of most people. We will come to the build to rent apartments later. The Minister and I have a difference of opinion on this matter but it is important that we represent each other correctly. My position is not against the private market existing or, indeed, playing a role in providing housing; my concern is that the State should manage its finances better to ensure it does not unnecessarily build additional costs, such as dividends and profits for shareholders, into the money we spend. Of course we need to work with people but let us do so from a position of strength that recognises that the State is fundamentally the stronger actor in these situations. It needs to act as the stronger actor in these agreements and unfortunately we have not seen it do so. Perhaps the review of the help-to-buy scheme in 2022 will offer potential for further measures to address inflation in pricing. If the Minister believes that the help-to-buy scheme is only a small factor in inflation, then let us identify the other factors and address them.