Written Answers Nos. 225-245
225. Deputy Bernard J. Durkan asked the Minister for Finance the extent to which he and the Central Bank, along with his Department, continue to monitor the activities of investment funds that have bought up distressed or semi-distressed mortgages, with particular reference to the manner they continue to go about a resolution process; and if he will make a statement on the matter. [39475/20]
View answer226. Deputy Bernard J. Durkan asked the Minister for Finance if legislation will be considered to set down regulations to protect the consumer in cases in which lending institutions have sold off their distressed loans to third parties; and if he will make a statement on the matter. [39476/20]
View answerI propose to take Questions Nos. 225 and 226 together.
The financial services legal and regulatory framework provides a significant range of protections and supports for consumers and other borrowers.
All Central Bank regulated firms, including banks, retail credit firms (RCFs) and credit servicing firms (CSFs) are obliged to comply with the applicable consumer protection and other regulatory requirements including the Consumer Protection Code 2012 (the CPC) and the Code of Conduct on Mortgage Arrears 2013 (the CCMA), the Central Bank (Supervision and Enforcement) Act 2013 (Section 48) (Lending to Small and Medium-Sized Enterprises) Regulations 2015 and other applicable legal and regulatory provisions. Furthermore, the Consumer Protection (Regulation of Credit Servicing Firms) Act 2018 provides that if a loan is transferred, the holder of the legal title to the credit must, unless it is already authorised by the Central Bank, be authorised by the Bank as a credit servicing firm. Therefore, the range of consumer protections which applied when the loan was initially made will continue to apply following the sale of the loan.
The CCMA in particular provides a strong consumer protection framework for borrowers who are in arrears or pre-arrears on a mortgage loan secured on a primary residence. The overriding objective of the CCMA is to ensure the fair and transparent treatment of consumers in mortgage arrears or pre-arrears, and that due regard is had to the fact that each case of mortgage arrears is unique and needs to be considered on its own merits. The CCMA recognises that it is in the interests of borrowers and regulated firms to address financial difficulties as speedily, effectively and sympathetically as circumstances allow. It sets out the Mortgage Arrears Resolution Process (MARP), a four-step process that regulated entities must follow:
- Step 1: Communicate with borrower;
- Step 2: Gather financial information;
- Step 3: Assess the borrower’s circumstances; and
- Step 4: Propose a resolution
When the loan is not a mortgage loan to which the CCMA applies, the arrears handling provisions in Chapter 8 of the CPC apply. Amongst other protections, that CPC requires that where an account is in arrears, a regulated entity must seek to agree an approach that will assist the personal consumer in resolving the arrears.
The Central Bank carries out its supervision of regulated entities, including banks, retail credit and credit servicing firms in a number of ways, which includes both desk based and on-site reviews of various activities. At my request, in 2018 the Central Bank carried out a review of the CCMA to ensure it remains as effective as possible in the context of the sale of loans by regulated lenders. Based on a point in time analysis and informed by various strands of work including inspections, data collection, and stakeholder engagement, the Central Bank found that for borrowers who engage with the process, the CCMA was working effectively and as intended in the context of the sale of loans by regulated firms. When a loan is sold by a bank, any existing Alternative Repayment Arrangements (ARAs) in place with a borrower under the CCMA continue to be honoured until the agreed term of the ARA ends and no material breaches of the CCMA by these firms were identified. As a follow-up action to this review, the Central Bank wrote to banks, retail credit and credit servicing firms in August 2019 to set out its expectations of all firms in respect of loan sales.
227. Deputy Bernard J. Durkan asked the Minister for Finance the number of distressed mortgages in respect of family homes that have been resolved to the satisfaction of all concerned without enforced sale, repossession or liquidation; and if he will make a statement on the matter. [39477/20]
View answerThe information which the Deputy has requested is not data which is ordinarily collected by either my Department or the Central Bank. However, I would refer the Deputy to the latest Central Bank publication for Residential Mortgage Arrears and Repossessions Statistics: Q2 2020 which includes, inter alia, includes data on mortgage restructuring arrangements
(https://www.centralbank.ie/statistics/data-and-analysis/credit-and-banking-statistics/mortgage-arrears).
The latest release shows that at end-June the total number of principal dwelling home (PDH) mortgage accounts classified as restructured stood at 77,789 and 87 per cent of these restructured PDH accounts were deemed to be meeting the terms of their arrangement, meaning that the borrower is, at a minimum, meeting the agreed monthly repayments according to the current restructure arrangement.
The Deputy may also wish to note that there are a number of public initiatives which are in place to assist people who are in mortgage or other debt difficulty. For example, the Abhaile service which is made up of the Insolvency Service of Ireland (ISI), the Legal Aid Board, the Money Advice and Budgeting Service (MABS) and the Citizens Information Board provides free financial, and where appropriate also legal, advice to people experiencing difficulty in meeting their loan commitments.
228. Deputy Bernard J. Durkan asked the Minister for Finance the extent to which he sees the formation of a new or alternative lender to replace a bank (details supplied) given its indication to withdraw from Ireland; and if he will make a statement on the matter. [39478/20]
View answer229. Deputy Bernard J. Durkan asked the Minister for Finance his plans to ensure the availability of a reliable banking systems for customers of a bank (details supplied) following the announcement of its intention to withdraw from Ireland; and if he will make a statement on the matter. [39479/20]
View answer230. Deputy Bernard J. Durkan asked the Minister for Finance the number of employees of a bank (details supplied) likely to be affected by the proposal of the bank to withdraw from Ireland; the way in which it will be planned to provide for these employees in the future and at the same time provide for the bank's customers throughout the country; and if he will make a statement on the matter. [39480/20]
View answerI propose to take Questions Nos. 228 to 230, inclusive, together.
As the Deputy will be aware, I met with representatives of Ulster Bank on the 21 of October. I outlined that I expected that staff, customers and other stakeholders would be informed promptly about any decisions being made.
News of the review is, of course, unsettling for all stakeholders, especially the staff and customers. I outlined that I expect Ulster Bank to keep all its stakeholders, especially its staff and customers, fully informed about any developments in the review and engage with them in relation to any proposals or decisions that result from the review promptly.
I also emphasised the importance of Ulster Bank to the Irish financial services market, to the wider economy and to the communities it serves.
Ulster Bank confirmed that the strategic review is ongoing and that no decision has yet been taken. Ulster Bank also confirmed that there is no set timetable for this review and that it is fully aware of the strategically important role that Ulster Bank plays in the provision of financial services to the Irish market.
The continued presence of a viable and active Ulster Bank in the Irish market would be the most welcome outcome. Ulster Bank is a significant employer with 2800 employees and has 88 branches across the country. Ulster Bank is also important in terms of providing competition in the Irish retail banking market.
In the absence of direct knowledge about NatWest’s strategic review of Ulster Bank’s operations, I cannot and will not comment or speculate on possible outcomes as there is no basis for such speculation, which would be open to misinterpretation.
While I will have further engagement with the bank as the review process continues, I would like to emphasise that I have no role in the review or any commercial decisions arising from it. My officials will continue to monitor developments.
With regard to the availability of a reliable banking systems, a recent Indecon report on Community Banking in Ireland, published by my Department in December 2019, concluded that there is extensive provision of banking services by credit unions, An Post, as well as by commercial banking providers in the Irish market. The report found that there are 1,912 branches operated by banks, credit unions and post offices in Ireland, 63% of these branches are post offices or credit unions and 37% are banks. The Indecon report also demonstrates that there is a higher number of branches per capita in many of the counties where a significant percentage of the population resides in rural areas.
An Post
- An Post offers financial services including a payment account, personal loans, credit cards, a range of insurances, money transmission and foreign exchange services.
- An Post offers counter services for a number of retail banks, allowing customers to lodge and withdraw cash at An Post branches.
Credit Unions
- The Credit Union Act, 1997 (the 1997 Act) and the Credit Union Act 1997 (Regulatory Requirements) Regulations 2016 set out the services that credit unions may provide to their members. These include loans and savings under the 1997 Act and a further suite of services under the 2016 Regulations such as third party payments; ATM services; bureau de change and certain insurance services on an agency basis. I understand that a number of credit unions provide some of the services provided for under the 2016 Regulations. Where a credit union wishes to provide other services to its members, an application may be made to the Central Bank for approval to provide such services in accordance with the provisions set out in sections 48-51 of the 1997 Act.
- One such additional service includes the Member Personal Current Account Service (MPCAS). In 2016, the Central Bank defined and described a suite of additional services known as MPCAS, under which approved credit unions may offer personal current accounts with debit cards, overdrafts and a wide range of payment services within an appropriate risk framework. To date, 54 credit unions have been approved to provide MPCAS.
Cashback
An alternative method for cash withdrawal is cashback. Ireland is one of only 11 EU Member States in which cashback is common practice, and retailers do not charge consumers for availing of the service.
I would welcome the introduction of new lenders to the Irish market. It is, therefore, a welcome development that a new residential mortgage lender has recently entered the market and it will be of benefit to new mortgage borrowers and also to borrowers, in particular to borrowers who may still on a standard variable rate with the lender, who may wish to consider switching to a new lender.
231. Deputy Bernard J. Durkan asked the Minister for Finance the extent to which he remains confident in the ability of Ireland to remain competitive in the services and manufacturing sectors in the future given the various challenges affecting it; and if he will make a statement on the matter. [39481/20]
View answerThe Covid-19 restrictions introduced to suppress the spread of the virus in the second quarter of this year resulted in a significant contraction in economic activity. All sectors of the economy recorded declines apart from the foreign dominated multinational industry sector, which includes pharmaceutical manufacturing. This sector has proven to be resilient, growing by 16 per cent in the second quarter. However, exports from predominately domestic industries have suffered as a result of the pandemic, with the value of non-pharmaceutical exports (excluding aircraft) declining by 11 per cent year-on-year in the second quarter. Additionally, a number of services sectors suffered significant contractions. In particular, the hardest hit sub-sector of Arts and Entertainment declined by two-thirds, with the labour intensive Distribution, Transport, Hotels and Restaurants declining by a third. As the economy reopened during the summer, however, the services sector showed some signs of recovery.
The recent move to Level 5 Covid-19 measures is also likely to have a disproportionate impact on the services sector while the manufacturing sector, as an ‘essential’ activity, is expected to be largely unaffected. As the services sector often relies upon close physical interaction with consumers, when the current set of restrictions are relaxed these businesses are likely to reopen at reduced capacity to ensure compliance with public health guidelines. There may also be changes in consumer preferences due to concerns relating to virus transmission, resulting in lower demand for these services. Therefore, the recovery in these services sectors is likely to be gradual.
Nevertheless, the Covid-19 pandemic is unlikely to significantly impact the relative competitiveness of the Irish economy on the world stage as the global economy is experiencing the pandemic in a similar way. Indeed, the downward pressure on prices and the additional slack in the labour market as a result of the pandemic means that inflationary pressures are not likely to impact on the competitiveness of the Irish economy in the short to medium term.
The extent of the recovery across the services and manufacturing sectors over the short to medium term is likely to be determined by a number of factors, including the future path of the virus, the availability of a vaccine, changing consumer preferences, as well as the future trading relationship with the UK.
232. Deputy Richard Boyd Barrett asked the Minister for Finance if the €25,000 limit that credit unions are being required to impose on deposits will be reviewed; and if he will make a statement on the matter. [39501/20]
View answerI have been informed by the Central Bank that it has not imposed a €25,000 savings or deposit limit on credit unions.
The Credit Union Act 1997 (Regulatory Requirements) Regulations 2016 (the 2016 Regulations) set an individual savings limit of €100,000 that applies on a per member basis. Individual credit unions could apply to the Central Bank to retain individual members’ savings in excess of €100,000, which were held at commencement of the 2016 Regulations. In addition, on an ongoing basis, credit unions with total assets in excess of €100 million can apply to the Central Bank for approval to increase individual member savings in excess of €100,000. The Central Bank undertook a review of the continued appropriateness of the €100,000 individual member’s savings limit during 2020 which concluded that the limit remains appropriate.
Separate to the limits set out by the Central Bank in the 2016 Regulations, individual credit unions may decide to set individual savings limits/caps, which are below the €100,000 limit contained in the 2016 Regulations, in order to take account of their own specific business requirements and strategy. It is a commercial decision for any individual credit union to put in place any limits on the level of member savings or to decide to return some member savings where they are of the view that this will best support the ongoing prudent operation of their credit union for their members.
233. Deputy Michael Creed asked the Minister for Public Expenditure and Reform the way in which Ireland plans to access the recently agreed €47.5 billion REACT-EU fund in response to Covid-19; the Departments, local authorities and agencies that can avail of the fund; and if he will make a statement on the matter. [39388/20]
View answerREACT-EU (Recovery Assistance for Cohesion and the Territories of Europe package) is an initiative under the European Recovery Instrument to respond to the impact of COVID-19 and prepare a green, digital and resilient recovery of the economy. REACT-EU builds on the crisis response measures delivered through the two Coronavirus Response Investment Initiative (CRII and CRII+) packages, which allowed the re-programming of funding towards the Covid 19 response. React-EU will ensure that the economic and social recovery in the context of the coronavirus pandemic continues smoothly and without interruption.
The funding allocations under REACT EU will be provided in 2021 (70%) and 2022 (30%). The Commission has advised that Ireland’s 2021 allocation will be approximately €84m (in 2018 prices, approximately €89m in current prices). The allocation for Ireland in 2022 won’t be known until the end of next year.
With regard to how React-EU can be utilised, maximum flexibility is being given to Member States to utilise the additional funding under their existing European Social Fund, European Regional Development Fund, and Fund for European Aid to the Most Deprived programmes, with an option to avail of up to 100% EU co-financing.
It should be noted that while political agreement was reached between the European Parliament and EU Member States on 18th November 2020, the regulation is still pending the final approval of the legal texts by the European Parliament Plenary and the Council. The overall envelope of REACT-EU depends on the outcome of the overall Multiannual Financial Framework negotiations which are still ongoing. Accordingly, no decision has been made as yet with regard to the detail of how React-EU will be implemented.
234. Deputy Brendan Howlin asked the Minister for Public Expenditure and Reform the timeframe for the full restoration of pensions to those public sector workers still having their pensions abated; and if he will make a statement on the matter. [39272/20]
View answerI have presumed that when referring to ‘pension restoration’ the Deputy is referring to the reversal of the Public Service Pension Reduction (PSPR), which was introduced on 1 January 2011 under the FEMPI Act 2010 and is the only measure which led to a decrease in the actual payment value of public service pensions since 2008.
PSPR is separate and distinct from pension abatement, which is provided for under section 52 of the Public Service Pensions (Single Scheme and Other Provisions) Act 2012 and which provides for the reduction of a public service pension where a retired public servant is re-employed in the public service under certain circumstances.
With regard to PSPR, a three-stage partial reversal of PSPR was provided for in the FEMPI Act 2015, with rate reductions (via revised PSPR tables) occurring on 1 January in each of the years 2016, 2017 and 2018. The Public Service Pay and Pensions Act 2017 provided for the substantial further lessening of the impact of PSPR by way of rate and/or threshold in each of the years 2019 and 2020.
Overall, this means that since 1 January 2020, all pensions up to €54,000 per annum are now exempt from PSPR. This threshold is even higher, at €60,000, for those who retired between 1 March 2012 and 1 April 2019. It should be noted that pensions awarded in respect of retirements after 1 April 2019, the expiry date of the FEMPI 2013 grace period, are not subject to PSPR.
These changes mean that only those pre-March 2012 pensions that are linked to salary rates of a minimum amount of €108,000 per annum, or €120,000 per annum in the case of the 1 March 2012 - 1 April 2019 retiree group, bear a persisting PSPR impact from 1 January 2020 on. The vast majority of public service retirees - approximately 97% - are now entirely free from PSPR and as such, have had their pensions fully restored.
Finally, section 27 of the 2017 Act states that the Minister for Public Expenditure and Reform will, no later than 31 December 2020, make an order which will specify a date for the full removal of PSPR from that residual group of PSPR-affected pensions.
235. Deputy Pearse Doherty asked the Minister for Tourism, Culture, Arts, Gaeltacht, Sport and Media if there are financial supports available for business owners that have ceased renting out their self-catering properties due to Covid-19; and if she will make a statement on the matter. [39407/20]
View answerBudget 2021 included a number of substantial measures to support and strengthen the tourism sector and are supplemented by the economy-wide business supports and social welfare measures.
€55 million has been provided for Business Continuity Schemes for strategic tourism businesses to help them survive through the pandemic and be there to help drive the recovery. Combined with the COVID Resilience Support Scheme (CRSS), the VAT cut and the rates waiver, the Government is helping to sustain businesses that have been most severely affected by the necessary public health restrictions.
Tourism enterprises including self-catering accommodation enterprises can also benefit from wider horizontal supports such as the new Employment Wage Support Scheme, liquidity and enterprise investment measures and warehousing of tax liabilities.
Fáilte Ireland has created an extensive range of business supports to guide self catering businesses to operate during COVID-19. These have been developed in consultation with industry experts and are available on Fáilte Ireland’s website.
236. Deputy Paul Kehoe asked the Minister for Tourism, Culture, Arts, Gaeltacht, Sport and Media the supports available for community theatres that have been closed due to Covid-19 restrictions; and if she will make a statement on the matter. [39286/20]
View answerPrimary support for the arts, including theatre, is delivered by the Arts Council, funding for which has increased steadily in recent years and will reach €130 million in 2021. The Arts Council, which is independent in its funding decisions under the Arts Act 2003, operates within a published ten-year strategic framework entitled Making Great Art Work. The Arts Council supports and develops theatre in Ireland through grant funding, project awards, support to individual artists, and support to venues, publications and resource organisations. Further details can be accessed on the Arts Council’s website as follow http://www.artscouncil.ie/Arts-in-Ireland/Theatre/.
My Department operate a number of capital investment schemes in respect of cultural venues such as theatres. Applications under the Cultural Capital Scheme 2019-2022 are currently being accessed. This scheme focuses on enhancing the existing stock of arts and culture centres that operate as not-for-profit organisations throughout the country and that have a clearly defined arts and culture focus. This scheme has a particular emphasis on the reduction of carbon footprints to dovetail with the Government’s action on climate change. The Scheme builds on the success of the Arts and Culture Capital Scheme 2016-2018 which saw grants allocated to 134 organisations in 26 counties to refurbish and enhance their facilities. This funding is provided from a €40m capital investment allocation for local arts and culture infrastructure contained in Project Ireland 2040.
Assessment and final decision on applications were delayed and put on hold as a result of COVID-19 with my Department opening Stream D, a further stream of funding under this overall scheme. This was specifically for capital adaptations or equipment necessary to assist arts and culture organisations in re-opening. Under Stream D, capital funding is provided to assist in the re-opening of theatres, arts centres and culture venues as part of Project Ireland 2040. The measures are designed to support arts and culture facilities in preparation for staff, artists and audiences returning to venues to reopen in line with the Government’s Roadmap for Reopening Society and Business as well as the Return to Work Safety Protocols. There is a high degree of flexibility which will allow organisations to undertake necessary capital adaptations to their buildings so that they comply with the HSE COVID-19 related public health protection measures. Not-for-profit organisations with a clearly defined arts and cultural remit can apply for Stream D. Further details of these schemes along with eligibility criteria and other information, can be found at this link
https://www.gov.ie/en/service/b61b2-stream-d-of-the-cultural-capital-scheme-2019-2022/
The Deputy has made specific reference to community theatres and may wish to also know that the Department of Rural and Community Development funds a range of programmes and schemes to assist in rural and community development which are available to eligible community groups and organisations throughout the country. These schemes provide funding, support and assistance to communities at local level and include the Rural Regeneration and Development Fund, the LEADER programme; the Community Enhancement Programme, the Social Inclusion and Community Activation Programme; the Town and Village Renewal Scheme and the Community Services Programme. Details of how to apply for these schemes are on the Government's website at the following link https://www.gov.ie/en/organisation/department-of-rural-and-community-development/
237. Deputy John Brady asked the Minister for Tourism, Culture, Arts, Gaeltacht, Sport and Media if she will provide further information on the recent proposal for the universal basic income for the arts and live performance and events sector; when it is likely that this income support will be made available; and if she will make a statement on the matter. [39352/20]
View answerThe report of the Arts and Culture Recovery Taskforce, which was a commitment in the Programme for Government, was published last week. The report outlined ten recommendations for the sector including a proposed mechanism for rolling out of Universal Basic Income (UBI) through the establishment of a pilot project which would last three years.
There is already a commitment in the Programme for Government to assess a pilot UBI and one that is informed by a review of previous international models.
While my responsibilities as Minister do not encompass a UBI scheme, building on the recommendation of the Taskforce, officials in my Department are engaging on this matter with the relevant Government Departments including the Department of Enterprise, Trade and Employment, the Department of Social Protection and the Department of Finance.
238. Deputy Marian Harkin asked the Minister for Tourism, Culture, Arts, Gaeltacht, Sport and Media if she will clarify an issue with regard to Covid-19 restrictions for a sport (details supplied); and if she will make a statement on the matter. [39427/20]
View answerThe Framework for Restrictive Measures is a risk management strategy designed to allow individuals, families, businesses and services better understand, anticipate and prepare for the measures Government might introduce to stop escalation of the transmission of the disease. The Government’s strategy, in line with the public health advice, is disease suppression. COVID-19 spreads when individuals and groups come into close contact with one another, enabling the virus to move from one person to another. The risk of infection spread is greater in certain environments than others e.g. uncontrolled environments, crowded and noisy places, indoor environments, poorly ventilated spaces.
Given the current epidemiological situation, it has been necessary to put in place very significant restrictions to arrest the current trajectory of the disease and break transmission chains. This means asking people to stay at home and eliminating as much activity and contacts as is possible to ensure that opportunities for the virus to transmit are minimised, while allowing essential activities to continue. Unfortunately, this means minimising discretionary activities including indoor sports training and exercise classes or lessons.
Currently, in Level 5 sporting competition is not permitted except for defined exempted athletes and teams, as set out in the public health regulations. It is not currently permitted to otherwise open indoor sports facilities. Individual training indoors is permitted in Level 3 and Level 4, however indoor exercise and dance classes are not.
I recognise that there is great disappointment among those who wish to engage in sport indoors during the current Level 5 restrictions which will continue until 2 December. The suite of measures to be applied thereafter, including for the sport and education sectors, will be decided by Government on the basis of the prevailing public health situation and in the context of the Framework published in September.
239. Deputy Brendan Griffin asked the Minister for Housing, Local Government and Heritage the funding supports available to a business (details supplied) in County Kerry; and if he will make a statement on the matter. [39315/20]
View answerMy Department has responsibility for implementation of the European Communities (Licensing and Inspection of Zoos) Regulations 2003 (S.I. No. 440/2003) which deal with the inspection, licensing and regulation of zoos. These Regulations give effect in the national context to the EU Zoo Directive (Directive 1999/22/EC of 29 March 1999 of the Council of the European Union).
The National Parks and Wildlife Service of my Department has been involved in discussions with the zoo sector in recent months in connection with difficulties faced by the sector as a result of the Covid-19 pandemic and to consider how my Department might be of assistance.
Last Saturday, 21st November, Minister O'Brien and I announced that we had secured funding last week of €1.6 million for the zoo sector in 2020, to encompass all licensed zoos including aquaria. The funding will be allocated in the form of a grant scheme, open to the 69 licensed establishments in Ireland. This is aimed primarily at preventing an animal welfare crisis as a result of the ongoing Covid-19 pandemic. While the State does not ordinarily provide funding to the zoo sector, the current measures are being put in place in the context of the extraordinary circumstances of the Covid-19 pandemic and the effect it has had on these organizations.
The fund is to cover zoos’ ongoing costs during the upcoming winter period. As well as having responsibility for licensing, inspection and regulation of zoos, my Department is responsible for ensuring compliance with welfare standards in accordance with the Irish Standards of Modern Zoo Practice, which set out best practice and strict standards for animal well-being. The grant is only to cover feed, veterinary costs, heat and lighting (in the case of reptile and tropical houses) habitat enrichment and maintenance.
All licensed zoos and aquaria have been sent a copy of the grant circular, grant application form and an additional questionnaire, requesting details and evidence of these costs. Applications for funding will be assessed by the NPWS in my Department with a view to facilitating access to funds as soon as possible.
A fund of up to €500,000 is to be made available to small and medium size zoos and aquaria. A distinct emergency fund of €1.1m is to be made available to the two largest zoos, Dublin Zoo and Fota Wildlife Park, in order to prevent these large zoos of national strategic importance from closing.
This financial support recognises the vital role played by our zoos as networks for global conservation of biodiversity, as centres of learning and places where lifelong memories of families and children are made. This emergency funding will also safeguard employment and stimulate local economies in recovering by ensuring the continued operation of viable zoo establishments throughout the country.
Applicants will hear back shortly from the National Parks and Wildlife Service.
240. Deputy Michael McNamara asked the Minister for Housing, Local Government and Heritage if he will introduce a cull on feral mink in view of concerns regarding mink carrying a mutated Covid-19 strain and their detrimental effect on the ecosystem. [39319/20]
View answerThe National Parks and Wildlife Service of my Department has published a comprehensive review of the status of the mink in Ireland. This review also examined various management strategies for mink control and explored the feasibility of eradicating the species from the country. Based on experiences in other countries and taking into account developments in monitoring and management practises, it was estimated that eradicating mink in the wild from the island of Ireland would cost in the order of €100m over 5 years. The full report can be accessed here:
https://www.npws.ie/sites/default/files/publications/pdf/IWM40.pdf
For now, my Department's strategy prioritises the protection of important ground-nesting bird sites from predators, including invasive species such as mink.
As I understand it, the concerns about a mutated strain of Covid 19 in mink relate only to the farmed mink population.
241. Deputy Duncan Smith asked the Minister for Housing, Local Government and Heritage the status of the provision of an affordable housing scheme; when legislation for such a scheme will be brought to the Houses of the Oireachtas; and if he will make a statement on the matter. [39313/20]
View answerThe Programme for Government makes clear our commitments to provide measures for good-quality housing to purchase or rent at an affordable price and in Budget 2021, funding of €110 million was ring-fenced for two new schemes including a national Affordable Purchase Shared Equity Scheme and a Cost Rental Equity Loan facility to help deliver Cost Rental homes. Both of these programmes will begin in 2021.
€75 million will be allocated to the affordable purchase shared equity scheme. I intend to target the scheme at first time buyers, who are seeking to buy a new home but who cannot quite secure the full mortgage amount to do so at the present time. Subject to the final qualifying criteria, the scheme would see the State take a limited equity stake in a property, in order to help more people meet the cost of buying a new home with their available mortgage.
To this end, significant preparatory work has already been carried out by my Department working primarily with the Housing Agency and the Department of Finance. Intensive engagement continues with key stakeholders informing the final detailed parameters of the scheme, as well as with home builders to seek to increase the output of new homes in response to the new scheme.
In addition, €35m has been allocated to the new Cost Rental Equity Loan (CREL) facility to support Approved Housing Bodies (AHBs) to deliver approximately 350 Cost Rental homes at scale from next year. Added to the 50 Cost Rental homes that will be delivered in Enniskerry Road, Stepaside in Q3 2021, it will accelerate delivery in this new sector in advance of the Land Development Agency's planned future output and the work of local authorities. This scheme will leverage the proven expertise and capacity of the AHBs, demonstrated in their development and management of social housing units. The CREL scheme will allow cost-covering rents to be set at a lower level and so making them more affordable for tenants. Further details on the scheme will be announced in due course.
In addition to these new schemes, I will also progress and accelerate the local authority led scheme to deliver more affordable homes for purchase and rent on public land. The statutory basis for the delivery of affordable new housing for purchase on local authority lands is Part 5 of the Housing (Miscellaneous Provisions) Act 2009, which was commenced in June 2018.
The broad parameters of the local authority led Affordable Purchase Scheme will be as follows:
- aimed at first-time buyers who cannot purchase a home adequate to their needs on the open market under the macro prudential rules;
- homes purchased under the scheme will be subject to a maximum statutory discount of 40% (relative to the market price), with the final price of the affordable homes to be linked to the cost of provision, on a site by site basis, and
- the local authority maintains a fully repayable equity share in the properties equivalent to the percentage discount given.
Furthermore, €310m is available to local authorities for Serviced Sites infrastructure funding that will support the delivery of up to 6,200 new homes that will be made available under this scheme. The first SSF project that will be deliver affordable homes will be Boherboy Road in Cork City in early next year.
It is envisaged that the homes delivered under all of the above schemes will be made available to applicants who meet defined eligibility criteria. The precise eligibility conditions are currently being developed in light of the on-going policy analysis outlined. I intend to bring forward any necessary provisions to underpin these schemes in a forthcoming Affordable Housing Bill which will be brought to Government in the coming weeks.
The Land Development Agency (LDA) will play an increasingly significant role in the delivery of more affordable housing, as promised in the Programme for Government. The LDA is currently developing 9 sites that have near-term delivery potential for 3,600 new homes, the majority of which will be for Cost Rental and affordable purchase. It is also engaged in the progression of a number of other sites with potential for significant housing output. In the longer term, it will assemble strategic land-banks from a mix of public and private lands, making these available for housing in a controlled manner, which will bring essential long-term stability and sustainability to the Irish housing system.
242. Deputy Eoin Ó Broin asked the Minister for Housing, Local Government and Heritage the average turnaround for refurbishing vacant houses owned by local authorities in counties Cavan, Monaghan, Meath, Louth, Longford and Westmeath on an annual basis since January 2018 to October 2020; the annual budget available from January 2018 to October 2020 made available to these counties for restoring council-owned vacant properties; and the percentage of that budget spent during that same period on making council-owned properties habitable in tabular form. [39326/20]
View answerThe management and maintenance of local authority housing stock, including the cost of pre-letting repairs to vacant properties and the carrying out of responsive repairs, are matters for each individual local authority under Section 58 of the Housing Act 1966.
Since 2014 Exchequer funding has also been provided through my Department's Voids Programme to support local authorities in preparing vacant units for re-letting. Some €172.3m has been recouped to local authorities under the Voids Programme between 2014 and 2019 inclusive which resulted in 12,495 units being returned to productive use.
One of the key objectives of the Voids Programme is to provide local authorities with funding to help minimise the turnaround and re-let time of vacant units. Statistics in relation to the social housing stock are published by the National Oversight and Audit Commission (NOAC) in their Annual Reports on Performance Indicators in Local Authorities. These reports provide a range of information in relation to social housing stock, including the average time taken to re-tenant a dwelling. The most recent report, relating to 2018, is available on the NOAC website at the following link: http://noac.ie/wp-content/uploads/2019/10/NOAC-Performance-Indicator-Report-2018-1.pdf.
The table below provides information in relation to funding allocated from my Departments voids programme and funding claimed for the years 2018 and 2019 for local authorities in Cavan, Monaghan, Meath, Louth, Longford and Westmeath.
|
2018* |
2019 |
|||
|
Local Authority |
Funding drawn down by LA |
Funding allocation |
Funding drawn down |
Percentage % |
|
Cavan |
€270,779 |
€426,161 |
€117,161 |
27.49 |
|
Longford |
€67,500 |
€292,500 |
€276,465 |
94.52 |
|
Louth |
€166,794 |
€127,000 |
€72,053 |
56.73 |
|
Meath |
€836,941 |
€1,214,000 |
€303,197 |
24.98 |
|
Monaghan |
€496,283 |
€71,818 |
€110,638 |
154.05 |
|
Westmeath |
€207,845 |
€149,200 |
€71,893 |
48.19 |
* No allocations issued in 2018, funding provided based on claims made.
In respect of 2020, funding of €18.3m was available for the Voids programme. This funding was targeted in the first instance at properties requiring remediation in response to the Covid pandemic and thereafter funded properties under the normal voids programme.
As part of this Governments July Stimulus Package, I secured additional funding of €40million for the Voids programme in 2020. This additional funding will see 2,500 vacant properties brought back into use. There has been very strong local authority uptake in the Voids programme in response.
Final figures and the breakdown across each funding stream for the return of vacant units in relation to 2020 will be available in early 2021.
243. Deputy Eoin Ó Broin asked the Minister for Housing, Local Government and Heritage the amount requested from counties Cavan, Monaghan, Meath, Louth, Longford and Westmeath from the repair and lease scheme and buy and renew scheme since January 2018 to date in 2020; and the number of private properties that have been bought by local authorities to rehouse persons in these counties through the repair and lease and the buy and renew schemes in tabular form. [39327/20]
View answerThe Repair and Leasing Scheme (RLS) and the Buy & Renew Scheme (B&R) are complementary schemes which were developed to assist private property owners and local authorities or approved housing bodies (AHBs) to harness the accommodation potential that exists in vacant dwellings.
Delivery and funding data for the period 2017-2020, for both schemes, in relation to Cavan, Monaghan, Meath, Louth, Longford and Westmeath county councils is set out below. The allocation of dwellings delivered under RLS and B&R is a matter for the relevant local authority.
Table: B&R and RLS Delivery and Funding 2017-2020
|
LA |
B&R Units Delivered |
B&R Funding Provided |
RLS Units Delivered |
RLS Funding Provided |
|
Cavan |
1 |
€0.174m |
0 |
0 |
|
Longford |
10 |
€0.600m |
6 |
€28,768 |
|
Louth |
83 |
€12.40m |
1 |
€40,000 |
|
Meath |
51 |
€10.93m |
1 |
€8,698 |
|
Monaghan |
19 |
€2.561m |
5 |
€45,000 |
|
Westmeath |
3 |
€0.299m |
1 |
€35,000 |
244. Deputy Eoin Ó Broin asked the Minister for Housing, Local Government and Heritage the annual budget allocated to counties Cavan, Monaghan, Meath, Louth, Longford and Westmeath in each of the years 2018 to 2020 to provide for Traveller housing accommodation; the percentage of that funding spent annually in each of these counties on the provision of accommodation for members of the Traveller community; and the amount of unspent funding returned during that same period in tabular form. [39328/20]
View answerThe table below sets out the for allocation and expenditure in respect of Traveller accommodation for Cavan, Monaghan, Meath, Louth, Longford and Westmeath county councils in 2018 and 2019 and 2020 year to date up to and including November 24.
In 2020, to facilitate ease of access to funding my Department is not allocating specific budgets to individual local authorities. Instead, it is open to all local authorities to apply for and drawdown funds at any time through the year and this is actively encouraged by my Department. The Traveller-specific budget for 2020 is €14.5m.
245. Deputy Fergus O'Dowd asked the Minister for Housing, Local Government and Heritage the number of inspections of private rented accommodation carried out by Louth, Meath, Limerick, Kildare, Cavan, Monaghan, Donegal county councils, Cork City Council, Fingal County Council and South Dublin County Council in 2019 and to date in 2020, in tabular form; the findings of the inspections; and if he will make a statement on the matter. [39371/20]
View answerThe Housing (Standards for Rented Houses) Regulations 2019 specify requirements in relation to a range of matters, such as structural repair, sanitary facilities, heating, ventilation, natural light and the safety of gas, oil and electrical supplies. With very limited exemptions, these apply to all private rented residential accommodation.
All landlords have a legal obligation to ensure that their rented properties, regardless of tenancy type, comply with these regulations. Responsibility for the enforcement of the Regulations rests with the relevant local authority.
Data in respect of inspections undertaken by ten local authorities in 2019 and to the end of June 2020 is set out in the attached table. Q3 data is being collated.
Pandemic restrictions have reduced the number of inspections carried out this year.
My Department has made significant Exchequer funding available to local authorities in recent years, with the result that the number of inspections undertaken more than doubled from 19,645 in 2017 to 40,998 in 2019, with a similar increase in the number of properties becoming compliant from 3,329 to 7,206. In order to assist local authorities increase inspection rates further and strengthen compliance, an increased budget of €10m has been approved for 2021.
Detailed information in relation to inspections carried out by each local authority since 2005 is available on my Department's website at the following link:
http://www.housing.gov.ie/housing/statistics/house-building-and-private-rented/private-housing-market-statistics
