Mary White (Fianna Fail)
Link to this: Individually | In context

Part V of the Planning and Development Acts 2000 to 2006 was seen as innovative legislation because it sought to ensure that new housing developments made provision for people who could not afford to purchase a home at current market prices. Part V stipulated that 20% of all new housing developments must be ring-fenced for social and affordable housing. It is, therefore, despicable that developers were subsequently allowed to offer money in lieu of providing 20% of new developments as social and affordable housing or to build Part V housing units away from the primary site. I ask that the Department of the Environment, Heritage and Local Government contact all local authorities to discover how much money has been accepted from developers in lieu of Part V housing, how the authorities spent that money and how many developers have been allowed to develop social housing away from the primary site and, in many cases, not within reasonable distance of infrastructure and services.

The philosophy of the Part V provisions was to ensure mixed housing development so that different social and economic groups would not be separated into different housing environments. Having a home means access to a place that is private, safe, secure and affordable and has links to a community with a social infrastructure. Councillors throughout the State tell me that a considerable percentage of their work involves housing issues and that thousands of people remain on housing lists.

Batt O'Keeffe (Cork North West, Fianna Fail)
Link to this: Individually | In context

I thank Senator Mary White for the opportunity to update the House on what is essentially a good news story, namely, the continued progress in implementing the ground-breaking housing supply mechanism introduced under Part V of the Planning and Development Acts 2000 to 2006. Part V originated following a major review of planning legislation and is now a key measure in providing for housing for all. Crucially, it makes the community's needs for social and affordable housing a material planning consideration. Part V stipulates, among other provisions, that up to 20% of land zoned for residential developments or for a mix of residential and other uses is to be reserved to meet social and affordable housing needs and made available to the local authority at its existing use value rather than its development value.

However, Part V does not simply apply across the board to all residential planning permissions granted, as is sometimes perceived and often mischievously portrayed by the Opposition. The incorrect assumption is frequently made that Part V should yield the equivalent of 20% of total housing output. However, Part V does not apply to developments of four units or less. Therefore, for example, the significant share of total housing output accounted for by once-off houses is not subject to Part V. Nor does it apply to developments on sites of less than 0.1 hectares. Moreover, housing provided through the main social and affordable programmes of local authorities and voluntary and co-operative housing associations is also not subject to Part V. The voluntary sector was responsible for delivering some 1,600 units last year. In addition, in the early years after Part V came fully into operation in 2002, much of the housing development taking place was on foot of pre-Part V planning permissions.

I mention these factors to provide a proper context within which delivery under Part V can be considered. The most recent figures available to my Department indicate that close to 6,000 affordable and social homes had been acquired by local authorities through Part V agreements up to September last year. In excess of 5,400 further homes were in progress at that stage, with 2,700 more proposed on foot of completed agreements.

In addition, developers have transferred almost 100 acres of land and close to 400 partially or fully serviced sites. Furthermore, some €78.6 million had been received in payments in lieu of land under Part V. Although much spoken about, this particular aspect is estimated to account for only about 15% of the overall yield from Part V. These moneys are ring-fenced for social and affordable housing purposes. I have already taken steps in this year's housing allocations to ensure that any unutilised Part V funds are brought into play at an early stage. I have asked all local authorities that have taken money in lieu to indicate their plans for spending that money in 2008.

Mary White (Fianna Fail)
Link to this: Individually | In context

Well done.

Batt O'Keeffe (Cork North West, Fianna Fail)
Link to this: Individually | In context

Future delivery under Part V is necessarily subject to several variables, including overall housing output and the phasing of Part V units within developments. Taking account of all the factors involved, I estimate that some 10,000 homes under Part V will be delivered in the next three years. I am satisfied that Part V is operating effectively, as evidenced by its significantly increased delivery of both social and affordable housing. Annual output in 2006 was some 60% higher than in 2005. This is attributable, at least in part, to the significant efforts of my Department and the affordable homes partnership to provide guidance, training and other supports for those involved in implementing the Part V process.

We had some concerns about the uniformity of delivery of Part V throughout the State but we have introduced a toolkit for all local authorities so that there is a uniform approach in determining Part V requirements. While I have no plans to amend the legislation, I will continue to monitor closely the workings of Part V to ensure it continues to realise its potential.