asked the Minister for the Environment if he will make a special allocation of funds to Cork County Council for the provision of serviced sites to suitable applicants.
Ceisteanna—Questions. Oral Answers. - Housing Sites Provision.
5.
No request for such an allocation has been received in my Department. It is a matter for each local authority to prepare programmes for the provision of private sites in their areas and to apply to me for the necessary capital to finance the programmes. Any such application is considered in the context of the overall capital requirements for the local authority's house-building programme.
6.
asked the Minister for the Environment if he will enable local authorities to lease or rent sites for the purpose of building houses for applicants who are on the housing waiting list and qualify for housing loans but are unable to obtain housing from the local authority because of the present housing programme and if so, if he will explain how such sites could be provided in view of the provisions of the recent landlord and tenant legislation.
A scheme which enables local authorities to provide subsidised sites for private housing for disposal to certain categories of applicants, including those referred to in the Deputy's question at prices in general significantly below their market value has been operated by my Department since 1967. The effect of the subsidy is that sites can be disposed of at prices of up to £500 less than the cost to the authorities of acquisition and development.
Prior to the enactment of the Landlord and Tenant (Ground Rents) Act, 1977, which came into force on 16 May 1978, and prohibits the creation of new ground rents, such sites were disposed of on a leasehold basis, by way of outright purchase or on an instalment basis and the ground rent charged was purely nominal.
Since 16 May 1978, sites may be disposed of only on a fee simple basis. The value of the site may, however, be included in the normal house purchase loan advanced by local authorities under section 39 of the Housing Act, 1966, subject to the amount of the loan not exceeding the maximum loan limit fixed from time to time.
Will the Minister not agree that the maximum subsidy of £500 in respect of building sites in any part of the country is a very small amount.
The scheme has been working quite well.
Will the Minister not agree that, given the cost of sites, the maximum subsidy of £500 is very small?
An increasing number of people are availing of the scheme. Since the Government increased the loan from £9,000 to £12,000 there seems to be an upswing in private development. For the first four months of the year there has been an increase of 22 per cent in new house grant applications.
Since the Minister refused to answer my question it is obvious he does not consider the subsidy of £500 to be small.
I never refuse to answer a question.
The Minister did in this case and the record will show it clearly. He refused to comment on the extent of the subsidy. In view of the restrictions placed on the scheme that has been operating since 1969 as a result of his Government's legislation, will he consider introducing new proposals to enable local authorities to subsidise the cost of sites to qualified applicants in excess of the current restrictions?
Up to now the scheme has been adequate. However, we are a forward-looking Government and are always looking into new measures. The Deputy may take it that I will keep this matter under active consideration.
The Minister of State was not appointed when the Government were in the business of producing White Papers. Is he aware of all the sections in the White Paper on social infrastructure which relate to the Government's policy of encouraging house ownership and will he indicate how his present administration of this policy relates to these objectives, or do we take it that they do not stand anymore?
I will go back to the Coalition time——
The Minister does not have to go back, he is in the saddle now.
Order, please, this is Question Time, not a debate.
Nor is it a history lesson. This man is responsible or is supposed to be.
I would remind the Deputy that when the Coalition were in office they ran down all this private development with miserable loans and a £2,300 income limit.
Question No. 7.
(Interruptions.)
I am prepared to answer questions. I answered that it was adequate up to now and of course we will continue to look into the matter.
Question No. 7.
The Minister has been quoting history.
I never quote history.
The Minister has just done it.
When the Coalition were in office they introduced Green Papers and White Papers and we got wrapped up in paper.
Question No. 7.