Dáil Éireann debate -
Thursday, 16 Oct 2003

Vol. 572 No. 5

Other Questions Local Authority Housing. - Consultancy Contracts.

Mary Upton

Question:

7 Dr. Upton asked the Minister for the Environment Heritage and Local Government when he expects to receive the results of the research he has commissioned into the ownership and control of building land in certain development areas, particularly Dublin, to determine whether current practices are retarding the overall delivery of building land or impeding long-term market stability; the person from whom the research has been commissioned; if the results of the research will be published; and if he will make a statement on the matter. [23619/03]

Mr. Cullen:

Goodbody Economic Consultants was commissioned to carry out research into this matter and its report is expected to be finalised shortly. The work will form part of my Department's wider examination of possible measures aimed at moderating land costs for housing and other essential public infrastructure. I will finalise my consideration of all of these issues in light of the recommendations of the All-Party Oireachtas Committee on the Constitution expected early next year and the NESC report on housing and land policy expected by the end of this year.

Mr. Gilmore:

When were Goodbody consultants appointed to do this work? Can the Minister be more specific on what "shortly" means for the report? What terms of reference have been given to the consultants?

Mr. Cullen:

The consultants will consider developments in the housing market, the impact of land on housing supply and prices, evidence of hoarding and the potential impact of market intervention. They will look at all the issues in terms of what is actually happening and will try to provide solutions. Last June – I will provide the Deputy with the specific date – in reply to a question in the House, I said I was considering a range of measures. At that time my intention was to commission a report from Goodbody. I expect the report to be finalised within the next few weeks.

Mr. Gilmore:

That seems to be a different remit and study from the one referred to by the Minister in the House last week, when he said the Government had commissioned research and analysis of the ownership and control of building land in certain development areas. His response today covers a wider remit. Will he indicate if there is a study looking at who owns what land and who is hoarding it?

Mr. Cullen:

The study to which I referred will be complemented by the NESC report, which will be substantial. The Taoiseach and I are anxious to bring this debate to a conclusion and to this end we expect to have all these reports to hand before the end of the year. The report I commissioned should be available in the next couple of weeks, the NESC report is expected before Christmas while the All-Party Committee on the Constitution is due to report in January. This provides a short time period in terms of having the three essential elements of assessment completed. We will then consider how to proceed on the basis of the evidence available to us.

It has been constantly said to me, and believed by many, that only approximately four or five developers control the land in Dublin. We now find from the report referred to by the Deputy, of which I am aware, that the land in Fingal is in the hands of 26 or 27 developers, which is different from what we might have thought. Let us have all the evidence before reaching conclusions and when we have it we will devise solutions.

Mr. Durkan:

The need to get this information has been clear for some time. I fail to understand what the All-Party Committee on the Constitution has to do with the number of people who own potential building land. A few telephone calls will get that information. It could have been done over the last 12 months.

Mr. Cuffe:

It could have been done at the Galway races.

Mr. Durkan:

Will the Minister explain why it takes such a tedious and drawn-out effort to come to conclusions about how many people own the land, where it is owned and whether it is land that can be used for building purposes?

Mr. Gilmore:

I do not think anybody maintained that the number of landowners was as low as four or five. I did not claim it. The Minister said he needs definite evidence before he concludes whether there is hoarding. If there is no evidence of hoarding, why has the Taoiseach said on a number of occasions, including in his speech to his party's Ard-Fheis last weekend, that there is? What is his evidence for this and has he made it available to the Minister for the purposes of this study?

Mr. Cullen:

The Taoiseach went even further because his Department commissioned the NESC study. We should await the publication of the report. I never suggested that the All-Party Committee on the Constitution was looking at the ownership of land hoarding.

Mr. Durkan:

We know it is not considering that aspect.

Mr. Cullen:

Why did the Deputy suggest it was?

Mr. Durkan:

The Minister indicated as much in his reply to Deputy Gilmore.

Mr. Cullen:

I did not.

Mr. Durkan:

The Minister did.

Mr. Cullen:

I did not. I referred to the three elements needed to deal with this issue. The Deputy well knows of the strong constitutional and property rights in this country.

Mr. Durkan:

There is no need for an All-Party Committee on the Constitution to ascertain who is hoarding land.

Mr. Cullen:

I never said the all-party committee was looking at that issue. I referred to the Goodbody report, which I commissioned, and the NESC report, commissioned by the Department of the Taoiseach. We are trying to establish who owns the land. There is a strong belief that land is being hoarded. If so, I want to know what land is being hoarded, for how long and on what basis. When I have that information, solutions can be considered, whether through the constitutional route, the CPO method or taxation. It is essential to know who is involved; the matter cannot be approached with a scatter gun. I am not in the business of being a Minister to come up with fanciful ideas for the sake of it. If something is to be done, I want an outcome. That is the way I approach business.