James Browne (Wexford, Fianna Fail) | Oireachtas source

I welcome the opportunity to speak to the Seanad today on the challenges we face as a country as we work to build on the progress achieved under the Housing for All plan and to secure a housing system that meets the needs of our society.

I recently outlined a broad housing policy agenda in the Dáil with reference to the Government's work on the report of the Housing Commission. I hope to take a similar approach here today. In doing so, I will outline the progress achieved since Housing for All was published in September 2021, the Government's ambition to build on that progress and the challenges we face in doing so, as well as, most important, some of the key measures we will bring forward as we strive to meet and address the challenges we face.

It is important to start by reflecting on the progress we have made in recent years. In many ways, we are still recovering from the deep wounds inflicted on the housing system during and shortly after the great financial crisis. It is easy to forget that only ten or so years ago, we built only 7,200 new homes in the State. Remarkably, in the decade since, we have increased this significantly to an annual average of almost 31,000 new homes in the past three years. Despite the almost continuous upward trajectory in supply through this period, there have been some recent disappointments, most notably the dip in the number of new homes built last year. This in particular brings into stark relief the enormous task of securing enough housing to meet our needs.

That said, it is important to recall how far we have come in a relatively short period of time. In 2012 and 2013, we delivered less than 5,000 new homes each year. By 2020 and 2021, this had increased to 20,500 new-build homes added to the national housing stock in each of these years and, a short three years later, an undeniably significant step change in delivery has been achieved, with more than 92,000 new homes built from 2022 to 2024.

More social homes are being delivered than in many years. Measures like the first home scheme, help to buy scheme, the local authority home loan, the relaxation of social housing income eligibility limits and the introduction of the renters' credit have all helped younger people to achieve autonomy in the housing market. Government measures on rent regulation and tenant in situ schemes have also successfully protected tenants and shielded vulnerable households from homelessness.

At the same time, we must be honest and acknowledge housing remains an existential challenge. We bear witness to the consequences of this every day. The number of new homes coming on stream each year is far short of where it needs to be. The result is a limited availability in choice, affordability challenges for those seeking independence in the housing market, social housing lists that remain stubbornly high and growing numbers of homeless households. We do not underestimate the challenge facing us, nor do we resile from it. We remain steadfast in our commitment to meet the challenge head on and ensure all those aspiring to independence in the housing market can realise their aspiration.

Building new homes remains a key priority for our Government. Increased supply remains the answer to many of the problems we face.We have committed to delivering 300,000 new homes between 2025 and 2030, targeting at least 60,000 homes annually by the end of the period. When achieved, as a frame of reference, this will be more than double the 133,000 homes built in the past five years. The new targets are ambitious but they provide a credible pathway to delivering the scale of housing needed. The targets are not a ceiling. We plan to revisit them in 2027 and if, reflecting demand and growing industry capacity, we need different targets for 2028 and subsequent years, we will revise them. Our immediate focus must be on achieving these targets. To this end, the programme for Government commits to a new national housing plan to build on the success of Housing for All. The plan will incorporate pragmatic actions to boost housing activity in the short term, as well as strategic delivery boosts that will implement systemic change and help achieve and sustain the levels of supply needed in the long term.

We can all agree planning remains a critical piece of the solution. We are close to finalising the first revision to the national planning framework, NPF, and I expect the revision to be completed in the coming weeks, subject to Government agreement and thereafter the approval of both Houses. The revised NPF will set out the need to plan for the delivery of 50,000 new homes every year until 2040 and provide local authorities with the scope to zone the land needed to reach these targets. The new Planning and Development Act represents a radical reform of the planning system and will be commenced on a phased basis over the next 18 months. The new Act will bring greater clarify and certainty for those navigating the planning system. For example, new statutory timelines for decision-making and streamlined judicial review processes will help to reduce the delays that may be constraining supply and ensure investment decision can be made knowing when a decision on a planning application may be forthcoming.

Infrastructure is at the centre of the Government's programme. A new strategic housing activation office is being established under my remit. The new office will ensure timely provision of the enabling infrastructure needed for public and private housing development while addressing unnecessary infrastructure delays and blockages within the system. Work to establish this office is well advanced and recent engagement with key stakeholders has reinforced the importance of getting this office up and running urgently. The office will manage the significant housing infrastructure component of the new towns and cities investment fund. This will be agreed as part of the upcoming review of the national development plan. We are committed to investing in capital for Uisce Éireann to reach the levels of housing supply envisaged and deliver an average of 50,000 new houses every year between now and the end of the decade.

The State has invested unprecedented levels of public money in the delivery of housing in recent years and we intend to continue to do so. With that said, as much as some do not like hearing it, there is just no getting away from the fact the State cannot go it alone. Much of the investment needed to meet our needs has to come from the private sector, financed through the appropriate sources of private capital, a lot of which will come from international sources. We need to look no further than last year's dip in new home completions, which we all know was driven largely by the fall in the number of new apartments. To appreciate the importance of private investment, it has been three years since we carried out a review of apartments. This is an outcome inextricably linked to the almost full retreat of international capital in the sector since 2022. This capital is critical to apartment delivery, particularly from the private rental sector. Many of the apartments delivered last year were State led, and while this secured much-needed social, cost-rental and affordable housing, it is not sustainable in the long term. A stable and certain policy environment will help attract the private investment needed, and a review and potential recalibration and reimagining of rent pressure zones will be critical in this regard.

Whatever our direction of travel, our approach will seek to strike the right balance between protecting affordability for renters, on the one hand, while encouraging new investment in the residential construction sector, on the other. We can both protect renters and attract sustainable long-term investment and finance to finance new homes for rent. We have no choice but to do so. I have taken the initial time available to me to document the recent progress as well as some of the more substantial measures we are progressing and will progress in the coming years as we strive to relieve the pressures in the housing system. The forthcoming national housing plan will encompass many additional strands of work, including ambitious targets for social and affordable starter and cost-rental homes, addressing the homelessness challenge, boosting the capacity of the construction sector, our local authority housing delivery teams and approved bodies, and continuing to reduce vacancy and bring much-needed stock back into use. The plan will also focus on policies and structures that set us on a more sustainable and resilient footing as we seek to secure a long-term pipeline of delivery and funding to 2030 and beyond.Out of necessity, the plan will follow the review of the national development plan, which will be completed in July. In the meantime, I will continue to engage with Government colleagues including the Minister, Deputy Chambers, as the latter review takes shape over the coming months, making the case to reaffirm the critical importance of housing as recognised in the previous national development plan review.

I again thank Senators for inviting me to speak to them today. I look forward to hearing their views over the coming two hours and to engaging with them further on ideas and possible solutions to the difficulties we face.