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Dáil Éireann debate -
Wednesday, 5 Mar 1952

Vol. 129 No. 9

Private Deputies' Business - Amendment of Housing (Amendment) Act, 1950—Motion (Resumed)

Debate resumed on the following motion:
That Dáil Éireann is of opinion that the Government should take immediate steps to introduce proposals for legislation which will ensure that the Housing (Amendment) Act, 1950, will be amended so as to provide that the housing subsidy will be increased to a figure not less than £350, and that the ceiling value will be increased from £2,000 to a figure of not less than £2,500 in view of the greatly increased building costs, and especially to facilitate persons who are desirous to avail of loans under the Small Dwellings (Acquisition) Acts.—(Deputies Eamon Rooney and John Belton.)

I merely want to make a few brief remarks on the motion which is before the House. I do so mainly because I feel that, at the present time, a crisis is developing in regard to the building trade, which, though incipient at present, still requires some consideration owing to the fact that it will develop to greater proportions later. It is already apparent that the City of Dublin, which constitutes the backbone of the effort to provide houses for the masses of the people, namely, the provision of houses by the local authorities, is already running into very grave difficulties. I do not want, on this motion to-night, to go into detail in regard to the problems in Dublin because we may have an opportunity of doing so another time. However, it is well known already that the problem, in so far as Dublin Corporation is concerned, is one of growing seriousness, so much so that by next year we may have to face what will be regarded as a most serious, if not a castastrophic situation in regard to housing in Dublin. That would be regrettable because during the last three years in particular a very great contribution has been made by the local authorities in Dublin and district towards breaking the back of the exceptionally grave housing problem which Dublin and this nation as a whole inherited from the past.

So much progress has been made that those of us who try to assist ordinary citizens to secure a house from local authorities in the city and district find that our quest has become much easier within the last 12 or 18 months. Nevertheless, even allowing for that improvement, there are still very large arrears to be wiped out. In the course of his speech in support of the motion, Deputy Belton said that a figure of 30,000 houses would meet the present needs of the City of Dublin. Of course, nobody has the slightest idea as to the needs to-day of the City of Dublin in the matter of housing. We are all aware that the Corporation of Dublin has recently carried out a housing census. This gives a figure of some 13,000 or 14,000 actual applications, but the number of applications has to be judged in relation to the whole background of housing in Dublin over recent years. Many families in the City of Dublin think that unless they come within certain well-defined categories, there is little possibility of their application being successful within any reasonable period of time. The result is that there are a large number of families living under conditions which, though not overcrowded and not wholly unhealthy, are, nevertheless, unpleasant and objectionable. These people have refrained from making applications at the present time. It is equally true that no matter how fully the local authority advertises a census such as the one made by the Dublin Corporation some people fail to put in their applications for houses. I feel there can be no quarrel with the figure of 30,000 houses. As an actual definite figure measuring the housing needs of the City of Dublin in the immediate future, it is as good a guess as anybody could make, though it is not in any way a definite indication of the size of the problem that has to be faced in Dublin. Everyone who knows Dublin is quite aware that whole blocks in the city are to-day regarded by the corporation as not justifying an immediate consideration as far as rehousing is concerned. Yet one knows quite well that, from the point of view of modern standards and from the point of view of what is now looked upon as the minimum and proper needs for a family, there should be widespread clearance of whole sections of the city. The clearance of these buildings should be replaced by new structures.

If the problem in Dublin, which, to a large extent, represents at the moment the main extent of the housing problem in the country as a whole, is of such great dimensions, then we have got to concern ourselves with another factor which is bringing about a setback in the rate of the building of houses. I feel it is true to say that, in many of the provincial areas, very rapid progress has been made by local authorities, so much so that, in certain counties, the minimum housing programme has been almost completely met. They are reaching the stage in many counties of making available a higher standard of living accommodation to those who are already in occupancy of accommodation, which does not qualify under the Housing Acts. One-sixth of the population of the whole country lives in Dublin. Not merely has Dublin the greatest concentration of bad housing cases, but, because of the volume of population, it is numerically the largest that has to be dealt with. So long as that problem continues in Dublin we will continue to have a housing problem local and peculiar to Dublin and also a national problem which has to be dealt with on a national basis. It is from that point of view that any factors which at the moment are making for a slowing down in the rate of building in Dublin become of very serious import. Those of us who are acquainted with the position will agree that, for one reason or another, there has been a slowing down and that we are now facing, within a short period of time, a drastic reduction in the number of dwellings being made available for applicants. At present this reduced output is not making itself felt so far as the building of dwellings by the Dublin Corporation is concerned. That is a future problem which is appearing on the horizon now, and which will, I believe, regardless of any steps which we can now take, make itself strongly apparent within the next nine or 12 months. Apart from building by the Corporation of Dublin, there is also the large volume of building that is being carried on in Dublin City and the immediate neighbourhood by private builders, almost all of which has been financed on the basis of the Small Dwellings (Acquisition) Acts.

It is already apparent to those associated with the building trade that a large number of small private builders, those to whom we refer in the trade as speculative builders, have been meeting with ever-increasing difficulties, particularly from the point of view of finance. We have already had reference in the House in other debates to the question of bank credits, and I do not propose to dwell upon that except to remark that there is quite clearly on the part of the small private builder much greater difficulty to-day in acquiring financial accommodation for his particular type of activity than he experienced some time ago. But on top of that difficulty from the point of view of our credit structure, there has also grown up within the last 12 months, because of changing prices, wage rates, and the thousand and one factors that affect the ultimate cost of a house, the problem that the actual provision by way of financial support made available through the Small Dwellings Act and through Government grants to enable the activity of the private builder to be carried on, has become less and less adequate to meet the actual problem.

From that point of view the terms of the motion asking that the grant be increased to the figure of £350 and that the ceiling would be raised from £2,000 to £2,500 is of immediate importance. There are to-day—and this is a new factor in our situation in this country since 1945—considerable numbers of skilled building workers idle, not merely in Dublin, but in other parts of the country. How many builders' labourers are idle it is better not to venture a guess, but there is an immediate problem of lack of sufficient employment for building trade workers. Up to the moment in this House, we have had to concern ourselves with the question of the provision of finance for house-building, the provision of materials, the clearing of sites, and finally, the securing of the necessary labour force. Now we have all these factors present except that the finance is not present in sufficient and adequate measure, and it is, as I say, being reflected in this problem of unemployment in the building trade.

We should have regard to the men in the building trade, many of whom, not in response to any particular call from either this Government or the last Government, returned and took up employment in this country and made their contribution to the achievements that have been made in the last few years in the erection of houses. Many of those are already becoming extremely nervous as to what their future holds. There was, of course, a period before the war when we had a set-back in building activity in 1938. When in 1948 it was possible to envisage an extended housing programme, the suspicions and the doubts that were present in the mind of building trade workers gave rise to many practical difficulties when approaches were made to them seeking their co-operation and their assistance in overcoming certain problems in regard to the supply of labour in this country. We should bear in mind that employment in the building trade is one of continuous casual employment, of uncertainty for the men, of hardship for their families, irrespective of whether they are skilled or unskilled workers. I should recall that as recent as 1930 the average wage of carpenters in this country, allowing for broken time, was a little more than 32/- per week.

Because of these factors it is most important that we should take every possible step to maintain the level of building that has been reached in the last three years. When we find, as it is clear now, that, because of the rise in prices and in labour costs, the financial provision being made to enable the people to enter into the ownership of their houses and the basis of mortgage under the Small Dwellings Act are no longer sufficient to assist in maintaining that building activity, we should review the matter on the lines set out in the motion.

I notice that the last night the motion was under discussion Deputy Gallagher did feel that a little more effort should be made by the building worker. I feel that this is not merely a suggestion; it is an innuendo that has been repeatedly made in public by public men and it should not be allowed to go without some comment. I would point out that, not in this House but before the Labour Court on one occasion, the same suggestion was made by representatives of the Master Builders that building trade workers were not making an adequate contribution from the point of view of output. That complaint or charge was publicly withdrawn by the representatives of the Master Builders completely and without qualification so far as builders' labourers are concerned, and they were completely unable to sustain it so far as skilled building workers are concerned. It is not proper or fair that these statements are continually repeated and particularly by a Deputy like Deputy Gallagher who has some knowledge of the building trade and who has some close association with it. When he goes on to suggest that because we are now in what he regards to some extent as a slump in building activity that the building worker should, as he said, put a bit more into it, I am afraid he is forgetting the background of the building worker who has many unhappy recollections of the days when for every hour worked harder he spent another hour unemployed.

Our purpose should be not to speak in terms that raise fear in the minds of building workers but to try to take steps to ensure that those building workers we have available in our own country will be retained in full employment so long as it is within our capacity to do so. That can be done at the present time because we are assured that we have the necessary finance. We can within reason obtain the materials and we will certainly have an adequate labour force, so that all we require to do is to apply our attention to the solution of the kind of problem raised by the motion.

The particular importance of the motion from the point of view of this House and of local authorities is that with every day that passes we find a growing problem concerning local authorities in regard to the cost of providing houses for citizens and the growing difficulty on the part of the tenants in meeting the rents that have to be charged; we have growing agitation in regard to the differential rent scheme, and it seems to be a reasonable proposition as set out by Deputy Rooney supporting the motion that we should do everything we can to make it readily possible for the citizen who wishes to purchase his own house to undertake that responsibility rather than throw the whole of the burden on the local authorities.

With the present cost of housing and with the limitation at present existing in regard to grants and a ceiling in respect of loans, the problem has, within the past six months anyway, grown beyond the capacity of the ordinary private individual whether he be the skilled manual worker or the white-collar worker. To the extent that these sections of citizens are the very sections that normally are not catered for by the local authorities, while at the same time they are the sections of citizens who are prepared to make very often very heavy sacrifices to try to obtain their own home and in time to secure the ownership of that home, we should, on our part, recognise their willingness to shoulder that measure of responsibility and to make that sacrifice.

For these reasons I support the motion because, as I say, it is necessary that we should immediately review our present system of housing finance, that we should review it in the light of the still existing needs on the part of wide sections of the citizens for proper housing accommodation, sections of citizens who are prepared to make their own personal contribution financially and otherwise to meet their own problems. We should review it from the point of view that we are already in the position where, to some extent, a crisis is developing in respect to private building and the employment arising from it, and we may well find, unless we deal with the position promptly, a very grave situation on our hands in the course of the next 12 months.

I welcome this motion, firstly because it refers to the Housing (Amendment) Act of 1950 and to the Small Dwellings (Acquisition) Acts, and therefore gives us an opportunity to raise a number of points which are uppermost in the minds of all who have to deal with housing problems as members of local authorities or as members of this House. I think the most disappointing thing I heard recently from the Minister for Local Government, when questions were being asked as to what changes he intended to make in the Housing Act of 1950, was that he intended to make no very great changes upwards or downwards in the grants under that Act—at least I got that impression from him. I think that is a pity because I feel that the housing situation at the moment is such that it will have to be tackled fearlessly. Much of the existing housing legislation will, I feel, have to be changed because, if things are allowed to stand as they are, the whole housing position will deteriorate. So far as the Dublin Corporation, in which I am particularly interested as a member of the Housing Committee, is concerned, there has been a housing drive in progress since 1948, but we are still in the position that we have families of six living in one room. It was very upsetting in such circumstances to learn recently that possibly our programme may have to be restricted next year. The Minister is going to see us on that question. I think we may leave it at that until we have seen him and discussed the matter. I hope that, as a result of the consultations between the Dublin Corporation and the Local Government Department, we shall be able to put the corporation housing programme once more on a proper basis, and that it will not be necessary for us to discuss the matter here in this House later.

I think the whole position in regard to housing in the corporation area requires to be looked into fearlessly. The financial position of the corporation is so insecure, I feel that it is a great pity that successive Governments have not been able to provide greater financial help for the corporation. Money each year is being advanced to the corporation at rates of interest and terms of repayment which they can never hope to repay and as a result the corporation is going steadily into debt. How long that can last I do not know. I am sorry in a way to discuss it now because I do not wish to prejudice the position of the corporation when they come to look for money. I admit that I should like to see them get money at any price rather than not at all. That and many other reasons are why I feel that the whole housing position will have to be tackled fearlessly and that any question of leaving the Acts as they stand will only render more difficult the solution of the housing problem in future and, indeed, will lead to very great difficulties in the future.

I cannot say that I agree with the motion in its present form because I personally feel that the Small Dwellings (Acquisition) Act has more than served its purpose. I do not think that it served the purpose which it was intended to serve in a way, because it ended up by facilitating the building of houses by people who in actual fact could have afforded to build their own houses anyway. I would far prefer to see the whole Small Dwellings (Acquisition) Act recast and drafted in such a way that it would help an entirely different type of persons to build their own houses.

I should like to see assistance given under it to the type of person known as the tenant-purchaser. If the Small Dwellings (Acquisition) Act were to apply to smaller houses than at present —say, to a house of something like 1,000 square feet instead of 1,400 square feet—and that an equal amount of money were made available, on a higher valuation than at present, the result would be that people whose incomes are between £400 and £1,000 a year and who are in a position to put down a genuine deposit of, say, £50— I say "genuine" because it has been suggested that many people seeking houses were asked to put down deposits of £100 or £150 each, only to find when they went to avail of these facilities that the deposit was much more— could avail to a greater extent of these facilities. If the Act were recast, I think a tremendous number of people who at the moment are in the unhappy position of having to pay high differential rents to local authorities would be very glad to avail of the provisions of the Act, because the annual payment would not work out very much more than their present rents and they would be buying their own houses.

I feel also that this would be a step in the right direction because it would begin to reduce the deficit in respect of houses of local authorities, such as the Dublin Corporation, who at the moment are operating a differential rents scheme. We have adopted that system really as an expedient. Under present circumstances we have no other means of rehousing people who really stand in need of houses, because if we had a system of fixed rents I doubt if these poor people in the slums could afford to pay the rents which we would have to ask them to pay for new houses. This motion, therefore, does not really strike at the heart of the problem, so far as the Small Dwellings (Acquisition) Act is concerned.

I should like to see it changed very substantially in that regard and I do hope that in framing new legislation the Minister will look carefully into the whole position. He may find it very difficult to introduce legislation for Dublin and the rest of the country at the same time because the problem in Dublin is different from that which faces local authorities in other parts of the country. One thing at any rate is clear and that is that there can be no justification for any reduction in the number of houses that are being built at present. On the question of finance, it may be said that these capital works are costing a great deal of money but let us be clear on one thing. If we do not give facilities to the people to build houses in large numbers to-day, and if local authorities do not engage in building on a large scale, the price of materials is constantly rising and these houses will cost very much more in the future. I am sorry to see this motion come in that way because I do not think it helps the position. I think the Small Dwellings (Acquisition) Acts have served their purpose and should now be recast to serve a different section of the community altogether.

We are under a certain handicap in discussing this motion in so far as the Minister has stated that he intends to bring in a new Housing Bill though naturally we have not the least idea how far the Bill will go or whether it will help the people whom this motion seeks to help. Because we do not know what provisions will be incorporated in the Bill which the Minister has indicated he intends to introduce, we must be prepared to support this motion.

Deputy Dr. ffrench-O'Carroll spoke of the problem as it affects Dublin. Though that problem does not affect us very much in the rural areas, at the same time it arises in the suburbs of Cork City, where unfortunate people are forced to pay £2 10s. 0d. and £3 a week rent. Undoubtedly, the white-collar worker and other workers are under a severe disadvantage in meeting their other commitments as a result of that high rent. If this motion can help to relieve them of some of their burdens and problems, then it is worth supporting. While a case may be made for the builder in such instances—the builder who can get a letting grant— I believe that the preponderant factor is the fact that the white-collar worker has to pay £2 10s. 0d. or £3 a week rent, and nobody will deny that that is a severe handicap on any man who is trying to rear a family. This motion asks for an increase in the amount to be given by way of subsidy and an extension of the ceiling value to £2,500. If these increases are granted, it may mean that some of these workers in the city areas may take their courage in their hands and decide to build their own homes in the realisation that they would not have to pay anything more by way of repayments on the loan than they are paying at present by way of rent. I believe that acceptance of this motion would prove a great incentive to some people to build their own houses. Of course, if the grant were increased, it would automatically prove a great help to those people, who are under such a severe handicap at the moment, in the matter of providing themselves with their own homes. It is true that certain builders are rather slack at present, but, if a method could be devised to encourage not merely the builder to build and let on a speculative system, but private people to build their own homes, it would naturally be of great importance and benefit.

Certain matters were mentioned by Deputy Dr. ffrench-O'Carroll which, I presume, would be more relevant for discussion on the Bill which the Minister has indicated he proposes to introduce. I agree, however, with Deputy ffrench-O'Carroll in one particular matter. From experience, we have found that instead of people who deserve to get loans from the local authority it very often occurs that, by manager's orders, wealthy people and big business people who can well afford to build their own homes, get loans. These are people who, we believe, should not qualify for these loans. However, it is considered a good business proposition to give these people these loans and, that being so, I do not intend to pursue that matter any further at present. When the Minister introduces legislation in this connection we can discuss the matter more fully. There is not much point in saying that, in view of the introduction of the Bill which the Minister has promised, we are prepared to wait. We want to help those people who are undoubtedly handicapped at present by having to pay such high rents in Cork City and suburbs and elsewhere. For that reason I believe that this motion should have the unqualified support of the members of this House.

Mr. Byrne

I support this motion and I earnestly hope that the Small Dwellings (Acquisition) Acts will be continued and enlarged.

I do not agree with Deputy Dr. ffrench-O'Carroll that the size of the house should be reduced. Within the past two years or so a deputation went to the Minister and asked him to agree to a larger sized house, which he did. I may say that I do not know to what extent they agreed on that matter and were working on that enlarged scale, but I know that it was brought about by a number of young people who were able to afford £100 or £150 as a deposit on a house. They asked the Minister not to confine them to a small house but to give them the best floor space possible in view of the fact that they were sinking their money in the transaction and would have to repay at the rate of about £2 a week. The Government of the time very graciously agreed to an enlargement of the floor space. While Deputy Dr. ffrench-O'Carroll's point would be a very good one if it were a question that people wanted that style of a house and had only £50 to put down, I think that the vast majority of the people would not agree with his views.

It is not altogether fair or proper to say that well-to-do people are benefiting under the Small Dwellings (Acquisition) Acts. They are not. I see from our list that over the past year or two we received applications from bus drivers, engine drivers, black-coated workers, good clerks, fire brigade men and anybody who could prove to the Corporation that he was earning upwards of £7 per week. These people were encouraged to build their houses because they are regarded as a good type of saving person. A man with that salary can build a house under the Small Dwellings (Acquisition) Acts and, already, a large number of people have benefited under these Acts. I sincerely hope that the Minister will not reduce in any way the size or type of house for which a grant is available and I earnestly hope that the Minister will, in fact, increase the grant.

Deputy Dr. ffrench-O'Carroll has pointed out that unfortunately the activities of the corporation in the matter of building have been somewhat reduced within the last few months and some of us who are on the housing committee of the Dublin Corporation, including Deputy Dr. ffrench-O'Carroll, are rather alarmed to see our housing programme going down somewhat. I think we were down more than 100 houses last year although it is only three years since we advertised in the papers and sent coloured pamphlets across the water saying: "Come back to your own country and build for your own people." The Housing Committee of which I am a member almost gave guarantees to the trade unions concerned that anybody coming home would be guaranteed ten years' work, if not 20, and that in the corporation alone we were aiming at a target of 3,000 houses a year and were talking about a target of 30,000 houses within ten years. What has happened?

Some years ago we were permitted by the Minister of the then Government from relief grants to develop sites and lay foundations. We helped the Government and the country generally by doing that. We gave very good employment to men who were unemployed at the time. We laid foundations all over the City of Dublin wherever we could find sites. Now the Minister's Department have held up that kind of work. They have asked not only for blue-prints or sketch plans of the development to take place this year and the next year but of all future development plans where new housing schemes are to be undertaken. I blame his Department for standing in the way of our continuing that work. He should remove this restriction and allow the corporation, as they were allowed some years ago, to acquire property and to develop the sites, leaving them until the builders are ready to tender for the houses.

The Deputy is getting away from the motion.

Mr. Byrne

I was encouraged in this by Deputy Dr. ffrench-O'Carroll who gave me an opportunity of drawing attention to this matter. The public utility societies and the private builders of this city have done splendid work. If you want to see where the Small Dwellings Act is worked effectively you should go out to the Swords road to the roundabout or to Collins' Avenue and down to Clontarf and see what is being done there by people whose wages range from £7 to £10 a week.

The outgoings on these houses are about £2 a week. The corporation have rented them sites and there is a very large number of applications for sites from that type of man who has £100 or £150 and is prepared to enter into a contract with a builder for the building of a house and pay £2 or £2 2s. 6d. per week.

I appeal to the Minister to extend the scope of the Small Dwellings Act and give the corporation power to raise money to make advances. There are some people to-day paying differential rents of a very high amount who, with the aid of another couple of shillings or even the rent they are paying, should be able to purchase houses. There are people paying 32/- a week under the differential rents scheme. That is not fair to them, because other people who are not being housed by the corporation are able to get their own houses built and their outgoings are about £2 a week. I hope the Minister will allow the corporation, under the Small Dwellings Act or some other Act, to sell the houses to existing tenants and new tenants.

I am in agreement with this motion to a certain extent and I should like to give my reasons. Deputies who have spoken to-night in connection with this matter are closely associated with the housing problem as it exists in the City of Dublin and from their speeches it is quite evident that the problem is still a very serious one in the city. I am sure the people charged with the duty of providing houses are doing everything they possibly can to remedy that serious situation. But I should like to know where all this is going to end. Every day we read in the papers of more and more people leaving rural Ireland either to work in Dublin or to emigrate. We must face this question, not from the City of Dublin's point of view but from a national point of view.

I do not want to be taken as being against the housing drive in Dublin; I do not want to be misrepresented in that connection. I believe it is the duty of any Government to take all possible steps to see that suitable and decent housing is made available to those who are not in a position to provide themselves with houses. I think, however, that some Government must direct its attention to the fact that, if the present trend goes on, we will have the whole population divided up between Dublin and Cork and the Midlands and the West of Ireland turned into a prairie. I do not want to develop that point further, as the Minister is about to bring in a Housing Bill.

I understand that in Dublin the maximum grant available for a new house is £275. In my own constituency of Roscommon, in the last 12 months, the county council, as a result of the Housing (Amendment) Act, 1950, are giving a grant to supplement the Department's grant. Where an applicant is entitled to £275 from the State, the county council is prepared to give a grant of 75 per cent. of that amount, which means roughly a total grant of £450. That is not a bad grant at all. I think there is a very good case to be made for this motion, because the figure mentioned in it is £350. I think that most of the local authorities are giving the 75 per cent. grant, as we are doing in Roscommon, so that the total grant available to a person erecting a new house is well over £400.

That is a point I should like the Minister to bear in mind. If he intervenes in this debate, he might give us some information on it. The Housing (Amendment) Act of 1950 allowed the local authorities to give this extra grant. In order to make that grant available, it was necessary for them to raise a loan from some outside source over a period of years. Considerable difficulty, I understand, has been experienced by some local authorities in securing the necessary financial accommodation to make those loans.

The Roscommon County Council have been lucky, as we have succeeded in obtaining this year, at any rate, the amount of money which we hope will be sufficient to carry us over the present period. I should like the Minister to ensure that the legislation which enables us to do this will be continued, because I understand that that legislation is only on a temporary basis to be renewed, if considered necessary by the Government, from year to year. That particular Act has done more to solve the housing problem in rural areas than anything which has been done in years past.

In the last 12 months there has been an awakening throughout the country in relation to the housing drive. Every week there are fresh inquiries in the county council offices in relation to grants and the method by which application is to be made.

I would like to avail of this opportunity to congratulate a former Minister on having introduced that very excellent Bill in 1950. I hope the present Minister will bear in mind the points I have made. There is no need to emphasise the necessity of trying to cut down the population in and around Dublin. Every Government that has taken office has expressed its desire to decentralise both government departments and industrial concerns in order to get the people back to the country districts. There is one excellent inducement that can be held out, especially to industrialists. Special provisions should be considered in connection with any new Housing Act whereby more attractive grants will be made available for houses erected in the rural areas for the accommodation of industrial workers. That will provide an incentive to industrialists to establish industries away from Dublin.

It is admitted that civil servants dislike the idea of moving out of Dublin. Nobody can blame people who have settled down in the city for disliking the idea of any upheaval.

That is scarcely relevant on this motion.

I appreciate that. I am appealing to the Minister to consider some of the suggestions I have made. I think the suggestions will prove beneficial in helping to solve the housing problem in Dublin. It is agreed by everybody that houses are essential. We have a large number of tradesmen resident here in Dublin. It is quite obvious that the housing drive will be completed at some stage in and around Dublin, and skilled and unskilled building operatives must then move elsewhere in order to find employment. We should take a long-term view in relation to these people. If we take the right steps now it will be much easier to establish them in homes outside Dublin. That is one reason why I suggest the Minister should make the housing grants more attractive in the rural areas. If I were a city Deputy I might not last 24 hours having made a speech like that. Nevertheless, I am supporting this motion because I believe the grant is not high enough. At the present moment in the rural areas local authorities are in a position to give grants, coupled with the State grant, in the region of £400 and over. Because of that I could not do otherwise than support the motion.

This motion is certainly of considerable value in relation to the possibility of increasing the housing drive. I intend to support it for that reason. Many of the points I wished to make have already been covered by both Deputy Larkin and Deputy McQuillan. I think this motion is very necessary at the present time because of the high incidence of unemployment in the building trade in Dublin and in other parts of the country. I think it is particularly opportune in the circumstances that the Dáil should pass this motion at this juncture. I also want to avail of this opportunity to voice a protest against the cut from £2,500,000 to £800,000 in the Estimates which have just been published for grants to local authorities for housing purposes.

The Estimates are not before the House.

The Deputy, of course, does not know what he is talking about.

The Deputy is capable of reading the Book of Estimates and realises that every worthwhile capital scheme has been cut in the Book of Estimates in pursuance of a set policy.

We are not discussing the Book of Estimates. The Deputy can discuss that matter later.

I favour the second part of the motion more than the first, but I favour any motion that will help to remove the present stalemate in the housing drive. Like Deputy Larkin and other speakers, I believe it would be a tragedy if we lost now the operatives who have been assembled for the purpose of our national housing drive. If we lose them we shall have difficulty in getting them back again. Anything, therefore, that will facilitate or speed up building deserves the support of the House.

I do not believe that an increase of £75 in the present grant would be in itself an incentive because £275 plus the grant given by local authorities works out at about 75 per cent. It varies with local authorities but there is a reasonably generous contribution given to any individual who wants to avail of the grant. I think a more attractive proposition would be to lift the ceiling in order to give a wider basis to the application of the Small Dwellings (Acquisition) Act. I do not agree with Deputy Dr. ffrench-O'Carroll or Deputy Desmond that that Act has been abused. I believe the number who did abuse the Act is negligible in comparison with the number who benefited under it. No matter what kind of net one uses some fish will always escape. The Act has been very beneficial.

It was my endeavour when in office to keep down building costs as much as possible. I admit it is a very difficult thing to do. I think the ceiling should now be raised to £2,500 to enable private builders to engage in that particular activity, particularly when there is a slacking-off in what I describe as public building. I do not agree with Deputy McQuillan that there is danger of more people flocking into Dublin because every house built here is required for the purpose of slum clearance. There is a slum problem in Dublin equal with that of any city in the world. If one compares results one will find that there has been as much building in the rural areas, comparatively speaking, as there has been in and around Dublin. Local authorities have risen to the occasion and responded in a magnificent manner in providing decent housing accommodation in the rural areas and in that way they are helping to solve the slum problem in the City of Dublin by keeping the people in the rural areas.

I do hope that no opportunity will ever be availed of to build smaller houses, as has been suggested by Deputy Dr. ffrench-O'Carroll. That would be a retrograde step. Local authorities can build a wide range of houses under the Acts, and I sincerely hope that no financial stress or stringency will ever compel them to go back to a smaller type of house than they are building at present. It is regrettable that there should be unemployment at the moment in the building trade but, presumably, it is only of a temporary nature. These building operatives have enjoyed a long period of employment and they will not remain very long unemployed. If the forces built up over the past few years are now scattered it will be very difficult to mobilise them again. If this motion speeds up private building, as I believe it will, it deserves the support of the House.

Every aspect of housing has been dealt with under this motion. Deputy Dr. ffrench-O'Carroll stated that the Small Dwellings (Acquisition) Act had served its purpose. For the last 20 years two classes of people have been catered for—the ordinary workingman who could not find a small deposit and had to be housed by local authorities and the individual who had sufficient money to purchase his own house outright. I think it was around 1930 that the terms of the Small Dwellings (Acquisition) Act were extended to enable people with a small sum of money to purchase their own homes as economically as possible. Money under that Act is available at less than 4 per cent. for a period of 35 years. No money for the purchase of a house is as cheap. Any building society will lend money for a period of 20 to 25 years at 5½ per cent. interest. If Deputy Dr. ffrench-O'Carroll believes that the Small Dwellings (Acquisition) Act has served its purpose he really does not know what he is talking about. If the Deputy can say where cheaper money is available, then and only then will I agree with him that the Act has served its purpose.

People are not building houses under that Act because they cannot afford to.

The middle-classes are availing of the Act. At the moment the middle-classes cannot avail of the Housing Acts because the ceiling is too low. That is admitted. Private individuals got sites from the Dublin Corporation in various parts of Dublin in the past. Deputy Alfred Byrne mentioned them. They all availed of the corporation loan. I mention these things to prove that the public need and want the Small Dwellings (Acquisition) Act to continue in operation. In the last 20 years no loss was incurred by the Dublin Corporation under the operation of these Acts.

I am open to correction on this, but I believe no local authority can lend money under the Small Dwellings (Acquisition) Act if it incurs a loss equivalent to ½d. in the £ on the rates. I would like to point out to those people who do not appear to understand the operation of the Act that this Act does not cost the local authority anything at all. It pays for itself. The money is lent and the borrowers pay it back. Some Deputy mentioned 75 and 80 per cent. as being lent under this Act. In the City of Dublin and the surrounding districts up to 90 per cent. is consistently lent.

On what valuation?

On the valuation of the 1950 Housing (Amendment) Act which relates to the cost price of the house. I would appeal to the Minister to consider this motion favourably. I believe that he intends to introduce a Bill dealing with housing in the near future. The ceiling which permits local authorities to lend money at the moment is too low. If the Minister delays legislation he may create a position which it will be very hard to overcome subsequently. If legislation is introduced now it will take at least three, four or five months before it comes into operation. We are now entering into what will be a very busy period. The Estimates will be coming on for discussion. We will have the Budget. It will be very difficult to find time for a new housing Bill. There is urgent necessity for immediately increasing the ceiling under the Small Dwellings (Acquisition) Act to at least £2,500 to enable people to purchase their own homes. There is also the desirability of increasing the local Government grant, particularly in the Dublin area. If the Minister can see his way to giving these two items his favourable consideration he will put building back on a proper footing and he will allay the very grave anxiety that exists at present in the minds of those who are interested in buying their own homes. In conclusion, I would like to point out once more that no money has been lost by local authorities in Dublin due to the operation of this Act and I appeal to the Minister to give the motion his favourable consideration.

Question put.
The Dáil divided: Tá, 52; Níl, 64.

  • Beirne, John.
  • Belton, John.
  • Browne, Patrick.
  • Byrne, Alfred.
  • Cawley, Patrick.
  • Coburn, James.
  • Collins, Seán.
  • Corish, Brendan.
  • Cosgrave, Liam.
  • Costello, Declan.
  • Costello, John A.
  • Crotty, Patrick J.
  • Crowe, Patrick.
  • Davin, William.
  • Desmond, Daniel.
  • Dockrell, Henry P.
  • Dockrell, Maurice E.
  • Esmonde, Anthony C.
  • Everett, James.
  • Flanagan, Oliver J.
  • Giles, Patrick.
  • Hession, James M.
  • Hickey, James.
  • Hughes, Joseph.
  • Keyes, Michael.
  • Kyne, Thomas A.
  • Larkin, James.
  • Leary, Johnny.
  • Lynch, John (North Kerry).
  • McAuliffe, Patrick.
  • MacBride, Seán.
  • MacEoin, Seán.
  • McGilligan, Patrick.
  • McMenamin, Daniel.
  • McQuillan, John.
  • Madden, David J.
  • Mannion, John.
  • Morrissey, Daniel.
  • Mulcahy, Richard.
  • Murphy, William.
  • Norton, William.
  • O'Hara, Thomas.
  • O'Higgins, Thomas F. (Jun.).
  • O'Reilly, Patrick.
  • O'Sullivan, Denis.
  • Palmer, Patrick W.
  • Reynolds, Mary.
  • Roddy, Joseph.
  • Rogers, Patrick J.
  • Rooney, Eamon.
  • Sweetman, Gerard.
  • Tully, John.

Níl

  • Aiken, Frank.
  • Allen, Denis.
  • Bartley, Gerald.
  • Beegan, Patrick.
  • Blaney, Neil T.
  • Boland, Gerald.
  • Brady, Philip A.
  • Brady, Seán.
  • Brennan, Joseph.
  • Brennan, Thomas.
  • Breslin, Cormac.
  • Briscoe, Robert.
  • Buckley, Seán.
  • Burke, Patrick.
  • Butler, Bernard.
  • Carter, Frank.
  • Childers, Erskine.
  • Cogan, Patrick.
  • Colley, Harry.
  • Collins, James J.
  • Corry, Martin J.
  • Cowan, Peadar.
  • Crowley, Honor Mary.
  • Crowley, Tadhg.
  • Cunningham, Liam.
  • Davern, Michael J.
  • Derrig, Thomas.
  • de Valera, Eamon.
  • de Valera, Vivion.
  • Duignan, Peadar.
  • Fanning, John.
  • ffrench-O'Carroll, Michael.
  • Flanagan, Seán.
  • Flynn, John.
  • Flynn, Stephen.
  • Gallagher, Colm.
  • Gilbride, Eugene.
  • Harris, Thomas.
  • Hillery, Patrick J.
  • Hilliard, Michael.
  • Humphreys, Francis.
  • Kennedy, Michael J.
  • Killilea, Mark.
  • Lemass, Seán.
  • Little, Patrick J.
  • Lynch, Jack (Cork Borough).
  • MacCarthy, Seán.
  • McEllistrim, Thomas.
  • MacEntee, Seán.
  • McGrath, Patrick.
  • Maguire, Patrick J.
  • Maher, Peadar.
  • Moylan, Seán.
  • Ó Briain, Donnchadh.
  • O'Reilly, Matthew.
  • Ormonde, John.
  • O'Sullivan, Ted.
  • Rice, Bridget M.
  • Ryan, James.
  • Ryan, Mary B.
  • Sheridan, Michael.
  • Smith, Patrick.
  • Traynor, Oscar.
  • Walsh, Thomas.
Tellers:— Tá: Deputies Belton and Rooney; Níl: Deputies Ó Briain and Killilea.
Motion declared lost.
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