Written Answers. - Housing Crisis.
Brian O'Shea
Question:
773
Mr. O'Shea
asked the
Minister for the Environment and Local Government
the additional measures he proposes to introduce in 2001 to deal with the housing crisis (details supplied); and if he will make a statement on the matter.
[1074/01]
Since coming into office, I have commissioned three major reports on the housing market with a particular focus on the supply and demand for housing and the affordability of housing. The Government has responded positively to the findings of these reports in Action on House Prices (April 1998), Action on the Housing Market (March 1999) and Action on Housing (June 2000).
The Government has implemented a wide range of measures to boost housing output, remove infrastructural and planning constraints on residential development and improve affordability for first-time buyers and lower income households. There is clear evidence both from the most recent analysis of the housing situation and from the latest housing trends that the Government's actions over the last few years have made a significant impact, in the face of strongly rising demand for housing. Government strategy, which is proving effective, is to increase housing supply to meet demand and to improve affordability, particularly for first time purchasers. New housing output in 1999 was over 46,500 units, an increase of 20% over 1997, and output in 2000 is provisionally estimated at almost 50,000 units, a 29% increase on output in 1997.
House price data for recent months indicate further moderation in the rate of increase in average house prices. There is also firm evidence that first-time buyers are gaining an increasing share of the new housing market. These trends may be attributed to reduced investor activity in response to measures introduced in Action on Housing and the sustained increases in housing output. The provision of £6 billion for social and affordable housing in the national development plan, augmented by further investment of almost £1 billion announced in Action on Housing, will ensure that the social and affordable housing needs of almost 100,000 households will be met with Government assistance over the period of the plan.
Last May I launched the Government's integrated strategy on homelessness, which outlines a new approach to the way in which services for the homeless are to be planned, funded and provided. As part of the strategy, local authorities have established homeless fora, where they were not already in place, and are developing three year action plans, jointly with the health boards and voluntary bodies. These action plans will set out clear aims and actions on how accommodation, health, settlement and welfare services will be provided to homeless persons by all of the agencies involved. While it will take some time to ensure that all these services are put in place, it is vital that services for homeless persons should be improved in the meantime and I continue to urge local authorities to provide directly or acquire additional premises for use as accommodation for homeless persons.
Part V of the Planning and Development Act, 2000, requires local authorities to prepare housing strategies to address the housing needs of all sectors of the community, including those in need of social and affordable housing. This requires local authorities to make an assessment of current and projected needs for housing in their areas, to prepare housing strategies and vary their development plans to incorporate the strategies. Guidelines for planning authorities on the preparation of their housing strategies, together with a model housing strategy have been published. Authorities have been asked to complete their housing strategies by 1 August 2001 at the latest.
The Government is committing substantial additional resources to housing and housing-related infrastructural development, over and above that which has been committed in the national development plan and the Programme for Prosperity and Fairness. These further measures provide a comprehensive and coherent response to growing housing need. They are kept under review on an ongoing basis and the Government will not hesitate to introduce additional measures should the need be established.
Question No. 774 taken with Question No. 768.
