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Dáil Éireann debate -
Tuesday, 27 Apr 1999

Vol. 503 No. 6

Priority Questions. - Local Authority Housing.

Eamon Gilmore

Question:

29 Mr. Gilmore asked the Minister for the Environment and Local Government when he will publish the new assessment of housing needs; the latest figures for the numbers of applicants on local authority housing lists at the latest date for which figures are available based on information provided to him by councils; the steps, if any, he is taking to reduce local authority waiting lists; the increase in new and second hand house prices since the beginning of 1999; the plans, if any, he has to introduce new measures to control house prices; and if he will make a statement on the matter. [10824/99]

Local authorities carried out their statutory assessments of housing needs on 31 March last and they have been asked to forward a full analysis of their assessments to my Department by 31 May. It will take some time to obtain returns from all 90 local authorities and to ensure they are comprehensive and complete. However, I expect the results to be published in my Department's housing statistics bulletin for the September quarter, as has been the practice with previous assessments.

The last statutory assessment of local authority housing needs was carried out on 29 March 1996 and the number of households assessed as being in need of local authority housing at the time was 27,400. Recent contacts with local authorities suggest a significantly higher number of households seeking local authority accommodation, and the Government's expansion of the local authority programme in 1999 to its highest level for many years is an immediate response to increasing needs in advance of the results of the assessment.

We intend to go further. I am delighted to inform Deputies that the Government has agreed to my proposal to introduce for the first time a multi-annual local authority housing programme. The new programme will be resourced to deliver 22,000 additional local authority dwellings over four years. This is equivalent to an increase of over a fifth in the number of local authority rented houses. There will be strong support from local authorities for the introduction of a multi-annual programme which should lead to a more efficient and streamlined delivery of local authority housing.

The local authority housing programme is not the only instrument of housing policy to meet social housing needs and it is supplemented by a range of other social housing measures under the aegis of my Department. The new multi-annual programme, the new affordable housing scheme and the improvements I made during 1998 in the voluntary housing capital assistance and shared ownership schemes will result in increased output from all these schemes in 1999. In addition, I intend to increase output under the voluntary housing schemes to 4,000 houses per annum over the coming years and will be shortly discussing ways of achieving this target with key representatives of the voluntary housing sector. I expect the local authority housing programme, together with the output from the complementary social housing measures and vacancies occurring in the existing housing stock, will enable the housing needs of more than 10,300 households to be catered for in 1999.

Comprehensive information on house prices for the first quarter of 1999 will be provided in my Department's housing statistics bulletin for the March quarter of 1999 due to be published around the end of May. In addition, my Department has recently put in place new arrangements for monitoring house price trends on a monthly basis based on provisional returns from the mortgage lending institutions. This preliminary data in respect of January and February indicate further easing in the house price situation and lend further support to the view that the rate of house price increase has peaked and should moderate significantly this year.

I have no proposals to attempt to impose artificial administrative control on house prices which was attempted in the past and proved largely ineffective. A range of further measures for the housing market were announced in the Government's statement of 9 March 1999 in response to the consultants' report The Housing Market – An Economic Review and Assessment. The key objective is to maximise and accelerate the supply of housing. These further measures, in conjunction with initiatives already under way, will reinforce the progress being made to ensure price stabilisation and balance in the housing market.

Will the Minister of State explain why, in the era of information technology, it takes from January, when he asked local authorities to conduct the assessment of housing need, to September to count the number of people on council housing lists? What is the explanation for this extraordinary length of time in producing the figures? Does the Minister of State agree with the estimate the Minister, Deputy Dempsey, gave to the Joint Committee on the Environment and Local Government last week that there are 42,000 people on local authority waiting lists? Does the Minister of State's announcement at the weekend of 22,000 local authority houses mean half those on council waiting lists will still not be housed in four years' time? Regarding the multi-annual local authority announcement he made at the weekend, how many local authority houses will be built in 1999, 2000 and 2001?

Regarding the length of time, the process of assessment undertaken by the local authorities is similar to that undertaken in 1996 by the Deputy's colleague who was then in the same position in which I am now.

Mr. Hayes

Rubbish. It was a different set of circumstances.

It is a matter of counting.

The assessment follows the same procedures. It is important it is as accurate as local authorities can make it. I am following the same procedures and I do not see what the difficulty is. I am not interested in rushing matters merely to achieve a figure.

Mr. Hayes

The Minister of State does not want the publicity.

I want to ensure we have a figure because the last time the assessment was undertaken in 1996 the number of applicants on the housing authority lists was higher than the assessment made of the number in need of local authority houses. It was established that the needs of some of those on the housing list could be met under aspects of the local authority housing programme other than the provision of a local authority house per se. That type of assessment and checking of the needs and circumstances of applicants is extensive. It is expected the Department will have the information by the end of May.

The Deputy would know if he had experience of dealing with these matters that, unfortunately, one cannot anticipate that each of the 90 housing authorities will have its results in by 30 May. From my nearly two years experience as Minister of State, I know it will be necessary to chase up the information. The only explanation I can offer as to why it should take so long is the need for accurate information.

With regard to the figure of 42,000, I have used a figure of over 40,000. I do not know the exact number on the local authority waiting lists and I would not be in a position to assess how many are in need of local authority housing or whether their needs could be met by another aspect of the social housing programme. That assessment must be undertaken by local authority housing officials in the 90 different authorities.

I made reference to the construction of 22,000 local authority houses in the context of a multi-annual local authority house building programme. This is the first time a Government has decided to introduce a multi-annual construction programme for the local authorities. The figure of 5,500 local authority houses each year over a four year period from 2000-3, inclusive, will result in 22,000 houses being built.

When the number of people whose needs will be catered for under some of the other aspects of the Government's social housing programme is included, the figure for households will rise very substantially, possibly to around 60,000. When all benefits are taken into account, approximately 60,000 households will, in some form or other, benefit from the social housing programme during this four year period. The Deputy is making a major error to assume that the needs of only a half of the people on the list of approximately 40,000 will be met. The figure will be very much greater.

Is the Minster of State telling the House that after almost two years in office he does not know how many people are on local authority waiting lists and that it will take nine months to count them, yet he expects us to believe figures for the numbers of houses that are to be provided over the next four years? A Minister of State who cannot count the number of people waiting for houses can hardly be believed when he puts forward fictitious figures for the next four years.

A question please, Deputy. I understand we have already exceeded the time available for Priority Questions and we are still on the second.

That is not my fault.

Please ask a question rather than making a statement.

Will the Minister of State tell the House how many houses he predicts will be built in 1999, 2000 and 2001, which, at worst, will be the duration of the remainder of his term of office?

The level of hypocrisy of the Labour Party never ceases to amaze me.

Less personal abuse – we want answers.

I am following the procedures that are in place in my Department with regard to the assessment of housing need that is undertaken every three years under the legislation. They are the same procedures that were in place when Deputy McManus was Minister of State.

The Minister of State has a fascination with the stewardship of Deputy McManus when she was Minister of State. He should account for his own stewardship.

I do not understand why the Deputy is getting so excited. I am not changing the method. I have already informed him that the multi-annual programme we have introduced is intended to apply a more efficient way of producing local authority houses in that the local authorities will be informed before the commencement of the four year period of their allocation for each year. They are expected to enter into advance planning arrangements with regard to sites, land, serviced land and the seeking of tenders over longer periods in respect of larger amounts so that we can achieve greater cost efficiencies in the method of construction.

All of these elements will help in the speedier production of the 22,000 houses than would otherwise be the case if I were to follow the traditional method, employed in the Department for many years. That consisted of an annual allocation of housing starts announced around January each year following which each local authority had to prepare documents and arrange for tenders. It led to a bunching of tenders and duplication of procedures.

Will the Minister of State answer the question?

Allow the Minister of State to conclude, Deputy. The Chair has no responsibility for his replies.

On a point of order, I have twice asked the Minister of State a specific question. How many of these houses will be produced this year, next year and the following year? I do not want a speech; there is nothing complicated about it.

Perhaps the Deputy does not like my answer. I may have tried to give him too much information.

The Minister should stop making a speech and answer the question.

Unlike the Deputy I know what I am talking about. The new method of proceeding with the planning and construction of local authority houses will bring the houses on stream earlier, perhaps by six months and, in some cases, 12 months. From my experience of looking at the way in which the local authority house building programme has been operated it can take two years before houses are occupied following the announcement of housing starts. In some cases it is up to three years.

How many this year?

Approximately 3,900. Even though we gave—

How many next year?

Allow the Minister of State to conclude without interruption, Deputy.

I only want information.

I assure the Deputy that whatever the figure, it will be greatly in excess of what—

How many next year?

The Deputy should not interrupt and allow the Minister of State to conclude.

The Minister of State did not answer the question.

The Chair has no responsibility for the Minister of State's replies. As the time for Priority Questions has now concluded we cannot take Question No. 30. However, the subject matter of Question No. 30 is similar to that of Question No. 32 so we will take it when we get to Question No. 32.

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