Dáil Éireann Debate, Thursday - 17 November 2016
150. Deputy Barry Cowen asked the Minister for Housing, Planning, Community and Local Government the details of the development contribution rebate scheme including the cost of the scheme; and the number of properties the scheme is estimated to have had an effect on incentivising their development. [35582/16]
View answerThe development contribution rebate scheme was one of a number of measures included in the housing package, Stabilising Rents, Boosting Supply, which was announced by the previous Government in November 2015. The aim of the scheme is to enhance the viability of construction and sale of residential housing units at affordable prices in the locations of greatest need.
The scheme was subsequently launched by my Department in December 2015 and applies to the metropolitan areas of Cork City and County Councils, and all of Fingal, Dun Laoghaire-Rathdown and South Dublin County Councils, as well as Dublin City Council.
Eligibility under the scheme is confined to residential developments of at least 50 units which must be completed and sold by 31 December 2017 at a price not greater than €300,000 in Dublin and €250,000 in Cork.
Under the scheme, the rebate will be paid in full for dwellings in the Dublin area with a confirmed sale price of up to €275,000, with an 80% rebate payable for units with a sale price of €275,000 - €300,000. In the Cork area, a 100% rebate will apply for dwellings with a sale price of up to €225,000, with an 80% rebate for sale prices of €225,000 - €250,000. The rebate will be paid solely in respect of development contributions paid to the relevant local authority for local authority infrastructure and services.
Further details of the scheme can be obtained on the Circular letter which launched the scheme and which issued from my Department to the relevant local authorities, which is available at following link – http://www.housing.gov.ie/search/archived/current/sub-type/circular?query=circulars.
Returns to date from the local authorities concerned indicate that some 1,068 housing units are projected to benefit from the scheme at an estimated overall cost of approximately €8.5m between 2017 and 2018, subject to compliance with the requirements of the scheme.
