Dáil Éireann debate -
Wednesday, 20 Nov 2002

Vol. 557 No. 5

Written Answers. - Local Authority Housing.

Niall Blaney

Question:

217 Mr. Blaney asked the Minister for the Environment and Local Government the person who is responsible for overseeing social housing development funded by his Department; the input a local authority has in letting these developments; and if he will make a statement on the matter. [22857/02]

Minister of State at the Department of the Environment and Local Government (Mr. N. Ahern)

All social housing developments funded by my Department are initiated by the relevant local authority either directly, as in the case of local authority housing, or indirectly, with local authority approval, to a voluntary or co-operative housing proposal. As the Minister responsible for housing and urban renewal I have been assigned responsibility for overseeing the promotion of social housing programmes by my Department.

Letting of local authority dwellings is a matter for local authorities to be carried out in accordance with their schemes of letting priorities which set down the criteria under which houses are let to tenants. Making or amendment of a scheme of letting priorities is a function reserved for elected members of an authority. Individual lettings, in accordance with the scheme, are an executive function.

The allocation of dwellings provided by the voluntary sector is made by the voluntary body concerned in consultation with the relevant local authority. No less than 75% of these units for letting must be allocated to households on the local authority waiting list.

Niall Blaney

Question:

218 Mr. Blaney asked the Minister for the Environment and Local Government if he will bring forward legislation which will enable tenants in social housing to buy and own their homes; and if he will make a statement on the matter. [22858/02]

Jack Wall

Question:

223 Mr. Wall asked the Minister for the Environment and Local Government the plans his Department has to investigate the problems exposed in correspondence (details supplied) in regard to purchase schemes and rents. [23010/02]

Minister of State at the Department of the Environment and Local Government (Mr. N. Ahern)

I propose to take Questions Nos. 218 and 223 together.

Tenants of local authority housing already have the option to purchase their homes. As regards housing provided by approved voluntary housing bodies with funding from my Department's voluntary housing capital assistance and capital loan and subsidy schemes, there are no plans to make provision in these schemes for the purchase of houses by tenants.

A tenant purchase scheme is not desirable at this stage of the development of the voluntary housing sector as the sale of housing units would undermine the capacity and resources of voluntary housing bodies to manage and maintain their estates and continue to provide further housing projects to meet pressing needs.

Residents of houses provided under the voluntary housing schemes of more than one year's duration who wish to become owner occupiers may, on surrendering their house to the approved voluntary housing body, qualify for the following benefits: special mortgage allowance of €11,450 over five years for mortgages created on or after 1 January to assist with mortgage repayments; the shared ownership scheme without having to satisfy the income eligibility criteria; improvement works in lieu scheme in respect of the dwelling they are acquiring; low cost housing sites scheme and exemption from the income limits for local authority loans. Full details of these options are available from local authorities.

The rent payable under the capital loan and subsidy scheme, to an approved housing body, by a tenant of a house qualifying for subsidy is based on household and subsidiary income in the previous tax year. There is no maximum on the rent payable on the principal household income. The contribution to the rent by each subsidiary earner is subject to a maximum of €25.39 per week. Revised arrangements for the capital loan and subsidy scheme, which came into effect on 1 July 1999, allows approved housing bodies, at their discretion, some flexibility to modify the application of the rent scheme in particular respects where they consider it appropriate. This is subject to the overall rent yield under the modified scheme being not less than what would be payable under the rent scheme before this is modified.

Where a tenant of a capital loan and subsidy scheme project produces satisfactory evidence of a fall in income to an approved body, and of the likelihood of such a fall being sustained for at least four weeks, the weekly rent may be adjusted to the level appropriate to the reduced rate of income for the full duration of the reduction in income.

In determining rents under the capital assistance scheme approved bodies are expected to have regard to the tenant's income and the outlay of the body on the accommodation, including ongoing costs of its management and maintenance.