Vol. 486 No. 3
58 Mr. McDowell asked the Minister for the Environment and Local Government the measures, if any, he proposes to introduce to alleviate the crisis confronting first time house purchasers on average incomes who are now unable to fund the acquisition cost of housing as a result of the rapid escalation in house prices; and if he will make a statement on the matter. [1939/98]
I have appointed consultants to examine the factors underlying the increases in house prices in the period January 1994, with particular emphasis on the situation in the Dublin region, and affordability for house purchasers is among the matters being specifically examined in the study. I anticipate that the report of the consultants will be available to me by the end of March.
I am also conscious that measures which might be targeted at first time purchasers could operate to increase demand and, in present circumstances, add a further stimulus to house prices. My priority, therefore, is to expand the supply of housing by continuation of the current record levels of new housing output and, in this regard, I point to the special £15 million fund which is being made available to increase the supply of serviced land for housebuilding.
I will review the available options in the light of the conclusions of the house prices report.
