Vol. 555 No. 1
3 Mr. Allen asked the Minister for the Environment and Local Government the action he proposes to take to deal with a situation where the number of persons waiting for local authority houses has increased by over 30% in recent years. [17801/02]
4 Mr. Penrose asked the Minister for the Environment and Local Government if figures published in a newspaper (details supplied) on 1 October 2002, showing an increase of 34% in the numbers on local authority housing waiting lists during the past three years, are correct; the steps he intends to take to deal with the growing numbers on the housing lists; and if he will make a statement on the matter. [17804/02]
I propose to take Questions Nos. 3 and 4 together.
A statutory assessment of local authority housing needs was undertaken by each local authority at the end of March this year. My Department has only recently received all returns from local authorities and I expect we will be in a position to publish the co-ordinated results of the assessment in the next few weeks. The preliminary results available suggest an increase of between 20% and 25% in needs since 1999. The Government has already been responding to this increased social housing need by implementing in 2002 the highest level of output under the range of social housing measures for over 15 years. I anticipate output from all the social housing measures will enable the housing needs of approximately 13,000 households on waiting lists to be met this year.
We have been making marked progress in increasing social housing output in recent years as a result of greatly increased investment, particularly in local authority and voluntary housing programmes. As recently as 1998 the housing needs of just 8,500 households were being met by these measures. As a result of greatly increased investment in housing in the national development plan, total social and affordable housing output this year will, at 13,000 households, exceed this earlier level by some 60%. The challenge ahead will be to maintain and further diversify this high level of social housing provision.
Will the Minister of State agree that there are now about 50,000 people on the social housing list? In my city, for example, a lone parent with three children can wait for anything up to seven years for an offer. Will the Minister of State agree that, at a time when there is huge demand for housing, there are three cutbacks by stealth being operated by his Department? First, the direct result of his circular letter about turnkey projects will be to slow down projects coming on stream. Second, will he agree that Part V of the Planning and Development Act, 2000, has resulted in very few planning permissions coming forward? Can he tell me how many local authority houses have been delivered under Part V of the Act? Third, will he agree that 44,000 houses will lose planning permission this year because of the withering clause and a further 35,000 will lose permission next year? Considering all this together, does it mean there will be a dramatic slowdown in the public housing construction programme this year, with consequent instability?
The figure is not 50,000: the formal figure will be out in a couple of weeks and probably come in at around 48,000. We think it will be about 23%. Turnkey developments have increased hugely in recent years – a few years ago they were going nowhere. While they are not being totally stopped, they are certainly being slowed down. When they started a few years ago, it was because many local authorities did not have a land bank. In the last three or four years something like €370 million has been spent by local authorities in acquiring land and it makes sense that if they have bought the land, they should now build on it. We are not saying, "No". If some authorities do not have a land bank or have other problems, they can still make their case. The turnkey developments, from a couple of dozen a few years ago, will amount to about 1,000 out of the 5,500 being built.
Some of the Deputy's questions are getting into the area of planning. The social housing project under Part V of the Act is a slow burner – we always knew that. The figure to date is about 50 houses.
Fifty houses?
We always knew it would be a slow burner because developers had stockpiled planning permissions. By the end of the year it is estimated that it should have risen by 250 to 300.
How many local authorities are involved?
They are the local authorities – 50 houses, rising to 300 at the end of the year. That is the dividend.
How many local authorities are operating it?
They are all operating it.
Is it one only? Am I right?
No, they have all adopted the strategy and implemented the scheme. The 300 houses planned for the end of the year are in the areas of a few of the big local authorities, yes.
What about the withering clause, which is resulting in 44,000 houses being lost this year and a further 35,000 next year?
That is getting into the Minister's area, but, as I said, developers did stockpile permissions and it was stated in the Act that permissions would die after two years. Many developers are realising this and going back to update their planning applications. Part V will apply to those new applications.
It still has an impact on housing.
Is it not the biggest single indictment of the Government, and a social shame, that at a time of unprecedented wealth – or so we are told – during which the housing market has exploded, increasing by a minimum of 23%, so many people are not in a position to secure their own houses? This is because of increased and exorbitant rents. More and more people who could afford to build a house are being forced onto housing lists. Does the Minister of State intend to give resources to local authorities to secure land banks and help people who might be in a position to secure a mortgage but cannot get a site to build a house, thereby preventing them from ending up on the housing list? Can he confirm that there is to be a reduction next year in the number of local authority houses built from 7,000 to 4,000? This is very important.
A directive was sent to local authorities preventing them from involving themselves in turnkey projects and indicating that they must get approval for design and tender – something that last happened 50 years ago. Is this not another delaying tactic, an attempt to push the boat out further in spreading the money? The Minister of State will not tell local authorities that the money is not there but will ask them to go through a rigmarole of bureaucracy while people wait and wait on housing lists across the country. It is a sad indictment of the Government and a source of shame. I am speaking as someone who was glad to get a local authority house myself. What measures will the Department take to ensure the social housing programme is implemented and a dramatic increase in affordable house building takes place across the country, in order to tackle the housing crisis?
As I mentioned to Deputy Allen, the Department has plans and is pushing them through as quickly as possible. The Deputy speaks of resources: the resources this year are enormous. The Minister previously mentioned that the whole housing package costs €1.1 billion. The local authority segment alone is worth €750 million, up 30% on last year's original provision and enormous by any standards. It is true that many people have applied for local authority houses in recent years who would previously have done their own thing. That is the reason the affordable housing scheme has been of such benefit. I opened a scheme six weeks ago out in Blanchardstown in which houses were being given out at very good prices, site-free. The trend in the Department to encourage affordable housing has helped people who would previously have entered the private market but have been forced into the local authority market. One cannot turn on a tap to get these projects going, but the number of houses being built under the affordable housing scheme in the Dublin area has increased hugely this year. This is a very important measure.
The Deputy mentioned land banks. As I said, €370 million has been spent by local authorities over the last three or four years on land and now we want them to build on it. That was part of the philosophy. The turn keys were encouraged because local authorities did not have the land. Some €370 million of taxpayers' money has been spent, even though it may not have been borrowed money, and the land has been bought. In regard to next year, that argument is ongoing and it will be Christmas before we know exactly how things stand.
It is fair to say that the number of local authority houses being made available this year is the highest for 15 years. The voluntary sector is growing. Different options are available, not just local authority housing. These include the voluntary sector, shared ownership, the affordable housing scheme and so on. Overall the needs of 13,000 people on the waiting list this year will be met.
