Written answers

Tuesday, 27 June 2006

Department of Social and Family Affairs

Housing Supports

11:00 pm

Photo of Michael LowryMichael Lowry (Tipperary North, Independent)
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Question 331: To ask the Minister for Social and Family Affairs the plans under consideration within his Department for the creation of a new mortgage support scheme; when he expects the scheme will be implemented; if an assessment has been carried out on the impact of such a scheme on the property market; the method of targeting those in society who are priced out of purchasing their own home; if the scheme will apply to first-time buyers only; and if he will make a statement on the matter. [24424/06]

Photo of Séamus BrennanSéamus Brennan (Dublin South, Fianna Fail)
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Under the supplementary welfare allowance scheme administered on my behalf by the Community Welfare Division of the Health Service Executive, a weekly or monthly rent supplement is available to assist eligible people who are unable to meet their immediate accommodation needs through their own resources.

The objective of the scheme is to provide a short-term income support. In recent years however, the numbers claiming the supplement have grown considerably from 42,683 in 2000 to 60,176 at the end of December 2005, with corresponding scheme expenditure rising from €151m to €368.5m in the same period. The scheme has also witnessed an increase in the duration of entitlement with over 30,000 recipients now getting a supplement for 18 months or more. While a broad range of housing supports is provided by local authorities, including the Rental Accommodation Scheme aimed exclusively at those on rent supplement for more than 18 months and regarded as having long-term housing need, I am anxious that all avenues are explored to provide financial support for any people on long-term rent supplementation who, with some support, may be in a position to purchase their own home.

To this end, my Department and the Department of Environment Heritage and Local Government, are together overseeing a study which will examine possible additional approaches to meeting housing needs in these particular cases by providing support with mortgage repayments. The study will consider the likely impact on other housing programmes and on the overall housing market. I have asked that the study be undertaken as a matter of urgency and I expect to have a report in the Autumn.

As the Deputy will appreciate, until I receive this report, I am not in a position to give details of any possible scheme.

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