Thursday, 12 November 2020
Department of Housing, Planning, and Local Government
Social and Affordable Housing
202. To ask the Minister for Housing, Planning, and Local Government the actions he will take based on the findings of the report by the Irish Government Economic and Evaluation Service that resourcing local authorities is the most cost-effective way to deliver new social housing units; and if he will make a statement on the matter. [35977/20]
The Minister for Public Expenditure and Reform, Michael McGrath TD published a number of spending review papers on 5 November 2020, including a paper on the Social Housing Build Programme.
The paper examines local authority build programmes in six local authorities, encompassing local authority build, Approved Housing Body build and the acquisition of newly built units through Turnkey and Part V mechanisms. The Report noted that cost efficiency differs by mechanism and location and this should continue to be monitored and assessed by my Department and the local authorities.
The Programme for Government commits to increasing the social housing stock by more than 50,000, with an emphasis on new builds so my focus is on increasing the proportion of social homes delivered through build programmes. The funding in place for 2021 will support the delivery of 12,750 new social homes, including 9,500 to be delivery through build programmes. My Department is working closely with the local authorities and the Housing Delivery Coordination Office on this programme.
203. To ask the Minister for Housing, Planning, and Local Government the cost of purchased Part V social housing units in each local authority in the past three years; the budget spent; the number of Part V social housing units that were purchased by each local authority; the average per-unit cost; and if he will make a statement on the matter. [35983/20]
The Programme for Government commits to increasing the social housing stock by more than 50,000, with an emphasis on new builds. In 2021, the total funding being made available for the delivery of housing programmes is €3.3bn. This includes funding to deliver 12,750 social homes through build, acquisition and leasing. A major focus of this investment is the delivery of new build, with an overall target of 9,500 new homes. The build target includes the delivery of 5,250 new homes by local authorities, 2,950 by Approved Housing Bodies and 1,300 new homes through Part V.
My Department publishes comprehensive programme level statistics on a quarterly basis on all social housing delivery activity under Rebuilding Ireland. This is published on the statistics page of my Department’s website, at the following link: www.housing.gov.ie/housing/social-housing/social-and-affordble/overall-social-housing-provision.
Following the introduction of changes to Part V of the Planning and Development Act 2000, effected through the Urban Regeneration and Housing Act 2015 (the relevant sections of which were commenced with effect from 1 September 2015), the range of options available through which Part V obligations might be satisfied was reduced. In particular, the payment of cash in lieu of homes or the transfer of sites or parts of sites was removed, and instead the remaining options are focused on the delivery of completed homes.
The current options for Part V delivery are:
- the transfer of ownership of land, subject to the planning permission application, to a local authority for the provision of social housing (the default option);
- the building and transfer of ownership to the local authority, or persons nominated, of completed social housing homes on the site subject to the planning permission;
- the transfer of ownership to the local authority, or persons nominated, of completed social housing homes on other land;
- the long term leasing of social housing homes; and
- a combination of the options above.
The table below, sets out an indicative average cost of Part V delivered units for each local authority in the years 2017-2019, based on the information submitted to my Department.
|2017 LA SHCIP||2017 AHB CALF- Total Unit Cost||2017 AHB CALF Average Capital Outlay||2017 Average annual Lease cost||2018 LA SHCIP||2018 AHB CALF- Total Unit Cost||2018 AHB CALF Average Capital Outlay||2018 Average annual Lease cost||2019 LA SHCIP||2019 AHB CALF- Total Unit Cost||2019 AHB CALF Average Capital Outlay||2019 Average annual Lease cost|
|Note 1: The information above is calculated using the financial information available to the Department where Local Authorities have submitted a recoupment claim to the Department.|
|Note 2: The CALF Capital Outlay represents the average amount of CALF funding provided. (A maximum of 30%)|
|Note 3: Agreement on Part V arrangements are a matter for the local authorities. In some cases the Part V average is affected by delivery of homes that were subject to agreements prior to the current Part V arrangements. Complete details of PART V arrangements are available from the local authorities.|