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Dáil Éireann debate -
Tuesday, 19 Nov 1991

Vol. 413 No. 1

Written Answers. - Ground Rents.

Ivor Callely

Question:

119 Mr. Callely asked the Minister for Justice the approximate number of ground rents which still exist; if he has received submissions regarding the abolition of ground rents; if he will consider introducing legislation in this area; and if he will make a statement on the matter.

No reliable estimate is possible of the number of ground rents which still exist but a very rough estimate made some years ago of the number payable on domestic dwellings is about 200,000.

I have received representations from time to time regarding the abolition of ground rents.

The Landlord and Tenant (Ground Rents) Act, 1978, prevents the creation of new ground rents on dwellinghouses and the Landlord and Tenant (Ground Rents) (No. 2) Act, 1978, provides, as regards existing ground rents on dwellinghouses, a low cost purchase scheme by virtue of which any person can terminate the ground rent on his dwellinghouse. The Landlord and Tenant (Ground Rents) (Amendment) Act, 1987, extended indefinitely the operation of that scheme.

The recently published Programme for Government states:

The Government are committed to introducing legislation which will abolish all remaining domestic Ground Rents as and from January 1 1997. Under these proposals, all remaining such rents will be deemed no longer to exist, and the fee simple of the property will become the exclusive ownership of the householder.

The legislation will shift the onus of completing the purchase of outstanding ground rents from the householder to the ground rent landlord.

Payment of compensation to the ground rent landlord would continue to apply on a similar basis as at present.

Work has commenced in my Department with a view to the preparation of the necessary legislation and when proposals are finalised they will be announced in the usual way.
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