The purpose of this Bill is to extend the time for the completion of houses for which grants may be made to private persons and public utility societies under the Housing (Financial and Miscellaneous Provisions) Acts, 1932 to 1937, and to extend the rating provisions of Section 10 (1) (b) of the Housing (Financial and Miscellaneous Provisions) Act, 1932, to houses in urban areas affected by grants under the Housing (Financial and Miscellaneous Provisions) (Amendment) (No. 2) Act, 1936.
I think it may be helpful to the Seanad if I place before the House somewhat detailed particulars concerning the moneys made available to private persons and public utility societies since the passing of the Act of 1932, together with particulars of the housing operations carried out by such agencies with the aid of grants.
The Housing Act of 1932 provided a sum of £700,000 for the making of grants to private persons and public utility societies towards the erection and reconstruction of houses within a period ending 31st March, 1935. Before that date had arrived it became clear that the sum was inadequate and that the demands for such grants were far from being met. It was decided to provide further moneys, and an additional £700,000 was provided under the Housing Act of 1934. The date of completion was extended to the 31st March, 1937, but towards the end of 1935 it was again clear that additional moneys would have to be provided. By an Act passed on the 3rd April, 1936, and another Act passed on the 3rd July of the same year the sum originally provided for these grants was raised to £2,800,000, ultimately increased to £3,500,000 by the Housing and Labourers Act passed in December, 1937. It will thus be seen that over each of the five separate Housing Acts from 1932 to the present date the sum of £700,000 has been provided for the allocation of grants to private persons and public utility societies.
It may not be inappropriate to outline the progress over the period from 1932 to, say, the 31st May, 1936, and from 1932 to the 1st of last month.
Taking the period 1932 to the 31st May, 1936, a sum of £2,100,000 had been provided under three Housing Acts (1932, 1934, and April, 1936). On that date the sum allocated was £2,007,702 in respect of over 38,000 houses, of which 22,000 houses were to be erected and 16,000 reconstructed.
The number of houses actually provided and the number of houses reconstructed as at the 31st May, 1936, were as follows:—
New houses erected in urban areas |
6,160 |
New houses erected in rural areas |
7,651 |
Total new houses |
13,811 |
No. of houses reconstructed |
5,883 |
Total number of new and reconstructed houses |
19,694 |
In terms of money allocated 32 per cent. was allocated to reconstruction, 24 per cent. to the erection of new houses in urban areas and 44 per cent. to the erection of new houses in rural areas.
On the other hand, taking the entire period from 1932 to the 1st ultimo the total sum made available for allocation was, as already stated, £3,500,000, of which £3,109,210 has been allocated in respect of the erection and reconstruction of 61,777 dwellings, of which over 32,000 houses were to be built and 29,000 houses reconstructed.
As at the 1st ultimo the number of new houses actually provided by private persons and public utility societies and the number reconstructed were as follows:—
New houses provided in urban areas |
10,354 |
per cent.23 |
|
New houses provided in rural areas |
15,185 |
34 |
|
Total of new houses |
25,539 |
||
Number of reconstructed houses |
19,631 |
43 |
|
Total number of new and reconstructed houses |
45,170 |
100 |
Over the whole period (1932 to 1st February, 1939) the allocations were as follows:—36 per cent. to reconstruction of existing houses; 20 per cent. to the erection of new houses in urban areas; and 44 per cent. to the erection of new houses in rural areas.
The necessity for the introduction of the present Bill arises from the fact that the period for the completion of the works in order to qualify for grants expires at the end of the present month. The Bill does not contain any proposal to vary the existing rates of grants, or to provide additional moneys. The sum which remains unallocated amounted on the 1st of last month to £390,000, and seems adequate to meet allocations up to the autumn, at any rate.
There are one or two points to which I may refer. When speaking on the Housing Bill, which became law on the 3rd April, 1936, I mentioned that the largest proportion of the amount provided for grants for new houses in urban areas went to the City of Dublin and the Borough of Dun Laoghaire, and that there did not seem to be the same need for a continuance of grants in urban centres that existed in rural areas. I indicated that the position was being reviewed and, on the occasion of the second Housing Bill, which became law on the 3rd July, 1936, the floor area of houses in urban areas was reduced from 1,250 square feet to 800 square feet. The object of the reduction was to secure the provision of houses for letting to the working classes. This aim, however was not achieved as it has been found that most of the houses provided in urban areas are, in fact, erected for sale. Up to the 1st ultimo, out of 10,354 houses erected in urban areas, only 3,092 were provided in the urban portions of the country outside Dublin City, Dun Laoghaire Borough and Howth urban district.
The growing demands on the Exchequer taken with definite statements made to me by builders that the grant for the urban areas was of little consequence, left us no other option but to discontinue such grants and, accordingly, under the Act of 1937 the period for the completion of houses in urban areas was fixed as the 1st October, 1938. The grants for such houses may have been said to have been then definitely withdrawn but, in consideration of numerous representations made to me in respect of houses which were not completed but were almost completed at the 1st October, 1938, the Government decided to grant a further extension in respect of these houses. This Bill in Section 2 (d) provides that these houses will be eligible for grants if they are completed not later than the 1st proximo.
The second matter to which I wish to draw attention is the date 1942 in Section 2 (b) (i) in respect of houses completed by public utility societies in urban areas for letting. Hitherto it had been usual to provide for a year's extension, i.e., from one year to another. The section is not extensively availed of, but the time limit of one year is somewhat embarrassing. Negotiations in relation to such schemes may be carried on over a lengthy period and in consideration of all the circumstances a three-years period for completion of the works is now being provided.
Section 3, which deals with the remission of rates, is a section in effect to remove doubts. Under the Act of 1932 the partial remission of rates for seven years in respect of houses erected with the aid of grants in urban areas was authorised. A new paragraph (k) was, in effect, substituted by the Housing (Amendment) (No. 2) Act of 1936 for paragraph (b) of Section 5 (1) of the 1932 Act. Houses built under the latter section came within the remission, and the question arose whether houses built under paragraph (k) had the same benefit. The section is considered desirable to clear up the matter.
As the houses affected by outstanding approvals number over 15,000, none of which can be completed by the end of this month, it will be appreciated that it was essential to introduce this Bill in order that the statutory date for completion might be extended so that grants could be paid in respect of works at present in progress.
It may be mentioned that of the £3,500,000 provided under the five Housing Acts previously referred to for the purpose of making grants to private persons and public utility societies, the sum which had been actually paid on the 1st ultimo was £2,475,405. Disregarding the moneys yet unallocated, it will be seen that a sum of over £600,000 still remains to be disbursed.