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Thursday, 24 Jun 2021

Written Answers Nos. 19-39

Rental Sector

Questions (19)

Thomas Gould

Question:

19. Deputy Thomas Gould asked the Minister for Housing, Local Government and Heritage the actions he has taken to mitigate the serious distress and harm being caused by the sudden ability of landlords to increase rents by 8%. [33894/21]

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Written answers

The Emergency Measures in the Public Interest (Covid-19) Act 2020 provided that a rent increase was not permitted to take effect during the period from 27 March 2020 to 1 August 2020. From 1 August 2020, the blanket ban on rent increases inside or outside of a Rent Pressure Zone (RPZ) was lifted for all, apart from the most vulnerable tenants.

The Residential Tenancies and Valuation Act 2020 (RTVA) and subsequently, the Planning and Development, and Residential Tenancies, Act 2020 (PDRTA) provide that rent increases were not permitted to take effect during the period from 1 August 2020 until 12 July 2021, for tenants with rent arrears due to Covid-19 and at risk of losing their tenancy who make the necessary declaration. 

Measures introduced on 1 August 2020 assist tenants who might face rent arrears on foot of a rent increase. Any notice of termination grounded on rent arrears must be copied to the RTB and will be invalid if it is not so copied. A notice of termination grounded on rent arrears can only be served by a landlord on the condition that a written rent arrears warning was given to both the tenant and the RTB and that the arrears were not paid within 28 days (doubled from 14 days) following receipt of the warning by the tenant or by the RTB, whichever occurs later. The RTB will acknowledge receipt of the warning notice to the landlord and tenant and provide the tenant with written information to enable them to get advice from the Money Advice and Budgeting Service (MABS) and on the income and other supports available.

The Government published the Residential Tenancies (No. 2) Bill 2021 on 17 June 2021 which, if passed by the Houses of the Oireachtas on or before 12 July 2021, will extend the targeted protections of the PDRTA for a further 6 months until 12 January 2022.

Rent reviews could be carried out at all times during the pandemic and rent decreases could, and can, take effect. A rent increase is payable by relevant tenants from the end of the given emergency period.

The operation of the rental market and the Residential Tenancies Acts 2004-2021 are kept under constant review and any necessary legislation will be introduced.  

Question No. 20 answered with Question No. 6.

Housing Provision

Questions (21)

Catherine Connolly

Question:

21. Deputy Catherine Connolly asked the Minister for Housing, Local Government and Heritage further to Parliamentary Question No. 107 of 5 May 2021, the status of the work of the Galway social housing task force; the number of times the task force has met to date in 2021; if he will provide a copy of all reports and minutes of the task force since January 2021; when the task force expects to complete its work and publish a final report; and if he will make a statement on the matter. [33899/21]

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Written answers

The Galway Social Housing Taskforce is continuing with its important work, including that of monitoring and accelerating the delivery of new social homes in the city and county. To date in 2021, the Taskforce has met twice and has two further meetings scheduled this year.

I previously provided the Deputy with copies of all reports provided by the Chair of the Taskforce to me to date and I expect a further report from the Taskforce Chair at the end of this year. I understand from the secretariat for the Taskforce, which is provided by Galway City Council, that the minutes of the meetings are shared with the Deputy and I also understand that the Chief Executives of both authorities report to their Councils on the work of the Taskforce following each meeting.

Earlier this year, I met with the Chair to discuss the Taskforce’s continuing work and I will be keeping updated on progress as I wish them to have a strong and productive role in advancing our housing agenda in Galway.  It is the progress that is made against this agenda that will determine when the Taskforce's work is complete.

Building Regulations

Questions (22)

Steven Matthews

Question:

22. Deputy Steven Matthews asked the Minister for Housing, Local Government and Heritage the position regarding the Departmental working group that was set up to investigate potential amendments to building regulations to require changing places (details supplied) in suitable public buildings; the number of times the group has met; if he plans to meet with the group; and if he will make a statement on the matter. [33219/21]

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Written answers

The Building Regulations 1997-2019 set out minimum standards for the design and construction of buildings and works to ensure the health and safety of people in and around such buildings. They are subject to ongoing review in the interests of safety and the well-being of persons in the built environment and to ensure that due regard is taken of changes in construction techniques, technological progress and innovation.

 Part M of the Building Regulations deals with Access and Use. The associated Technical Guidance Document M provides guidance indicating how the requirements of Part M can be achieved in practice. Where works are carried out in accordance with TGD M, this will, prima facie, indicate compliance with Part M of the Second Schedule of the Building Regulations.

 Part M of the Building Regulations aims to foster an inclusive approach to the design and construction of the built environment. While the Part M requirements may be regarded as a statutory minimum level of provision, the accompanying technical guidance encourages building owners and designers to have regard to the design philosophy of universal design and to consider making additional provisions where practicable and appropriate.

 In December 2020, my Department established a Working Group to examine the provision for a changing places toilet in certain buildings. A changing places toilet offers larger supported facilities that address the needs of people for whom current accessible sanitary accommodation is inadequate. These facilities enable people with complex care needs to take part in everyday activities such as travel, shopping, family days out or attending a sporting event.

The plenary Working Group has met six times to date, in addition to a number of sub-group meetings.  Draft documentation, which includes Draft Building Regulations (Part M Amendment) Regulations 2021, Draft Technical Guidance Document M – Access and Use 2021 and a Regulatory Impact Analysis, is currently being prepared  to support a  public consultation in the matter later this  year.

Rental Sector

Questions (23, 67, 68)

Richard Boyd Barrett

Question:

23. Deputy Richard Boyd Barrett asked the Minister for Housing, Local Government and Heritage the further measures he will take to address unaffordable rents, excessive rent increases and unfair evictions; and if he will make a statement on the matter. [33884/21]

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Bríd Smith

Question:

67. Deputy Bríd Smith asked the Minister for Housing, Local Government and Heritage his policy to prevent evictions of tenants in the coming period on economic grounds or other grounds which are unconnected to the Covid-19 crisis; and if he will make a statement on the matter. [33805/21]

View answer

Mick Barry

Question:

68. Deputy Mick Barry asked the Minister for Housing, Local Government and Heritage the measures he will take to minimise the number of evictions due as Covid-19 protections expire; and if he will make a statement on the matter. [33891/21]

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Written answers

I propose to take Questions Nos. 23, 67 and 68 together.

The Planning and Development (Housing) and Residential Tenancies Act 2016 introduced the Rent Predictability Measure to moderate rent increases in those parts of the country where rents are highest and rising fastest.

The rent increase limit of 4% per annum that applies in Rent Pressure Zones (RPZs) provides for a modest increase in revenue for accommodation providers to ensure that rental properties are maintained to meet minimum standards.

The Rent Predictability Measure is due to expire on 31 December 2021 and any necessary rent controls from 2022 are currently being examined.

Any proposed measure that impacts on private property rights requires detailed consideration and scrutiny having regard to the provisions of article 43 of the Constitution and the associated legal complexities.

The Residential Tenancies Acts 2004-2021 regulate the landlord-tenant relationship in the private rented sector and sets out the rights and obligations of landlords and tenants. Section 34 of the Acts provides that a landlord must state a reason for the termination in any tenancy termination notice served, and the termination will not be valid unless that reason relates to one of the following:

- the tenant has failed to comply with the obligations (other than the obligation to pay rent) of the tenancy;

- the tenant has failed to comply with the obligation to pay rent under the tenancy;

- the landlord intends to sell the dwelling within the next 9 months;

- the dwelling is no longer suited to the needs of the occupying household;

- the landlord requires the dwelling for own or family member occupation;

- vacant possession is required for substantial refurbishment of the dwelling; and/or

- the landlord intends to change the use of the dwelling.

The Residential Tenancies Act 2020 was enacted and came into operation on 24 October 2020 to temporarily modify the operation of the Residential Tenancies Acts to prevent any notices of termination served by landlords, in all but limited cases, from taking effect in geographical locations and during periods specified by the Minister for Health in Regulations made by him under section 31A of the Health Act 1947 in respect of which a restriction applies on the movement of people outside a 5 km radius of their place of residence. These tenancy protections also apply during the 10 days directly following the period specified by the Minister for Health in the aforementioned Regulations. Once the Minister for Health makes regulations restricting movement outside a 5 km radius of one's place of residence, the moratorium on evictions taking place will automatically apply.

The Residential Tenancies and Valuation Act 2020 introduced permanent protections to provide new procedures to be followed in the context of rent arrears warnings and associated tenancy terminations.

Any notice of termination grounded on rent arrears must be copied to the Residential Tenancies Board (RTB) and will be invalid if it is not so copied. A notice of termination grounded on rent arrears can only be served by a landlord on the condition that a written rent arrears warning was given to both the tenant and the RTB and that the arrears were not paid within 28 days (doubled from 14 days from 1 August 2020) following receipt of the warning by the tenant or by the RTB, whichever occurs later.

The RTB will acknowledge receipt to the landlord and tenant and provide the tenant with written information to enable them to get advice from the Money Advice and Budgeting Service (MABS) and on the income and other supports available. If the tenant agrees, the RTB can help them to engage with MABS to resolve their rent arrears and sustain their tenancy. The aim of the new procedures is to ensure that early action is taken to address rent arrears, to the benefit of both the tenant and the landlord.

Where a tenancy is to be terminated on grounds of rent arrears on foot of Covid-19, enhanced protections and procedures now apply for tenants and landlords under Part 3 (Residential Tenancies) of the Planning and Development, and Residential Tenancies, Act 2020 (the PDRTA). The PDRTA provides for temporary modifications to the operation of the Residential Tenancies Act 2004 to provide, subject to certain conditions, that during the period from 11 January to 12 July 2021 a 90 day (rather than the usual 28 days) termination notice period applies, where a tenant is in rent arrears due to Covid-19 and is at risk of losing their tenancy. The earliest termination date allowed in such circumstances is 13 July 2021. Rent increases are also prohibited for relevant tenancies until 13 July 2021.

The targeted ban on rent increases under the PDRTA is due to expire on 12 July 2021. The Government published the Residential Tenancies (No. 2) Bill 2021 on 17 June 2021 which, if passed by the Houses of the Oireachtas on or before 12 July 2021, will extend the targeted protections of the PDRTA until 12 January 2022, to afford more time to the most vulnerable tenants to recover their financial stability.

The Residential Tenancies Board displays comprehensive information on its website - www.rtb.ie - including guidance and frequently asked questions documents relating to terminating tenancies during the Covid-19 pandemic.

Housing Provision

Questions (24)

Holly Cairns

Question:

24. Deputy Holly Cairns asked the Minister for Housing, Local Government and Heritage his plans to provide social and affordable housing to persons with disabilities. [33842/21]

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Written answers

The National Housing Strategy for People with a Disability (NHSPWD) 2016-2021, which is a  joint publication by the Department of Housing and the Department of Health, sets out the Government’s broad framework for the delivery of housing for people with disabilities.  The Strategy was developed as part of a coherent framework of housing and care for people with disabilities, in conjunction with the Government’s mental health policy as set out in A Vision for Change and the Report of the Working Group on Congregated Settings "Time to Move On" (2011) which provides for the transitioning of people with intellectual disabilities from institutional settings to community living.

Persons with disabilities can, and are encouraged to, apply to housing authorities for housing supports, similarly to all citizens, and the range of social and affordable housing solutions are available to them following an assessment of their needs.  Accommodation is provided by the local authorities and approved housing bodies supported by Exchequer funding.

The Housing Agency is responsible for implementation of the Strategy and has published a number of documents, including guidelines, to support local authorities in implementing the Strategy. Its vision is to facilitate access for people with disabilities to the appropriate range of housing and related support services, delivered in an integrated and sustainable manner, which promotes equality of opportunity, individual choice and independent living.

Development of a new Strategy to 2027 is underway and the first consultation phase, with a research phase running in parallel, has concluded. A second phase of consultation will be held in the Autumn and the new Strategy will be published by the end of 2021.

Housing Provision

Questions (25)

Mark Ward

Question:

25. Deputy Mark Ward asked the Minister for Housing, Local Government and Heritage if a social housing passport will be introduced that will allow persons on social housing waiting lists to change local authority without losing time on the list. [33612/21]

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Written answers

The Programme for Government provides for a package of social housing reforms, including the introduction of a social housing passport to allow households move from one local authority list to another.   

It should be noted that the four Dublin local authorities already co-operate in arrangements that enable social housing applicants to apply for housing in one or two of the other Dublin authorities simultaneously.  Similar arrangements apply in the two Cork and two Galway local authorities.  It is also already possible for households to move and relocate between housing authority areas under the Housing Assistance Payment (HAP) Scheme where the household income is within the appropriate income limits. 

The issue of providing for wider tenancy movements is being examined and I will look at proposals in relation to such wider movement along with the other reform package measures.

Housing Provision

Questions (26)

Colm Burke

Question:

26. Deputy Colm Burke asked the Minister for Housing, Local Government and Heritage the number of new local authority homes completed in Cork city from January 2020 to June 2021; the amount spent on local authority housing in Cork city in the same period; and if he will make a statement on the matter. [33756/21]

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Written answers

The Government investment for the delivery of all housing programmes this year is €3.3 billion which, subject to the impact of Covid-related restrictions on the construction sector, is intended to support the delivery of 12,750 new social homes through build, acquisition and leasing. The major focus of this investment is the delivery of new build social homes, with an overall target of 9,500 new homes, in addition to 800 acquisitions and 2,450 homes to be delivered through leasing programmes. Cork City Council has been set a target to deliver 258 new build social homes and 246 homes through leasing this year.

Details of completed social housing projects in Cork City from January 2020 to June 2021 can be found on the Construction Status Report, which is available at the following link:

www.rebuildingireland.ie/news/minister-obrien-publishes-social-housing-construction-status-report-for-q1-2021/ 

During the period in question, Cork City Council has received over €95 million in funding for social housing from my Department.

House Prices

Questions (27)

Aindrias Moynihan

Question:

27. Deputy Aindrias Moynihan asked the Minister for Housing, Local Government and Heritage the measures being put in place to ensure that the introduction of the shared equity scheme will not create a rise in average house prices; and if he will make a statement on the matter. [33812/21]

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Written answers

The Programme for Government, commits to putting affordability at the heart of the housing system.

The Affordable Housing Bill 2021, the first ever stand-alone legislation providing for affordable housing measures, is currently before the Oireachtas, and provides for three schemes delivering on the Programme for Government commitment to put affordability at the heart of the housing system and prioritise the increased supply of affordable homes through (1) affordable homes on local authority lands, (2) the introduction of a new form of tenure in Cost Rental, and (3) a new affordable purchase shared equity scheme.

The Affordable Purchase Shared Equity Scheme, one of the provisions of the Bill, will enable first-time buyers to buy a new home, much sooner than would otherwise be the case, through bridging the gap, by means of an equity stake, between the mortgage available to them, and the price of the new home they want. At the same time, it will also build confidence in the construction sector to increase much need housing supply.  Budget 2021 had made available €75m to support the scheme and it is estimated that this level of intervention could account for approximately 1%-2% of housing transactions annually.

Extensive engagement has been undertaken with key stakeholders to ensure the optimum design of the Scheme, and the significant feedback has been factored in to the development process, and I am confident that the final design of the Scheme can mitigate any potential inflationary risks.

A 2019 report by the UK C&AG and the National Audit Office concluded that a similar scheme in England increased housing supply by 14.5% and prices by just 1% compared to homes not purchased under the scheme.  However, I intend to apply more targeted measures than the English scheme to ensure that potential risks can be addressed and mitigated before the introduction of the Affordable Purchase Shared Equity Scheme later this year. The Scheme will be specific to new builds, and will establish conditionality linked to maximum allowable home price by local authority area and maximum levels of equity support that will be made available. Any financial support provided will be limited to bridging the gap between the maximum mortgage available to the household and the open market price of the home. 

In terms of the prices for new homes under the Scheme, the setting of maximum allowable home prices will informed by the CSO recorded median prices of new first-time buyer homes sold by area, thereby targeting homes in the lower half of recorded sales prices over the previous year. The proposed caps will be reviewed and finalised in advance of the scheme’s deployment, and will be kept under review thereafter.

Finally, I have previously confirmed that the scheme will be formally reviewed after one year of operation.

Local Authorities

Questions (28)

Cathal Crowe

Question:

28. Deputy Cathal Crowe asked the Minister for Housing, Local Government and Heritage if he will issue a circular to all local authorities seeking a moratorium on the processing of new planning applications for wind farms until new national guidelines on wind energy, which are imminent, are introduced. [33672/21]

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Written answers

My Department is currently undertaking a focused review of the 2006 Wind Energy Development Guidelines in line with the “preferred draft approach” which was announced in June 2017 by the then Minister for Housing, Planning and Local Government, in conjunction with the then Minister for Communications, Climate Action and Environment. The review is addressing a number of key aspects including sound or noise, visual amenity setback distances, shadow flicker, community obligation, community dividend and grid connections.

As part of the overall review process, a strategic environmental assessment (SEA) is being undertaken on the revised Guidelines before they come into effect, in accordance with the requirements of EU Directive 2001/24/EC on the assessment of the effects of certain plans and programmes on the environment, otherwise known as the SEA Directive. SEA is a process by which environmental considerations are required to be fully integrated into the preparation of plans and programmes which act as frameworks for development consent, prior to their final adoption, with public consultation as part of that process.

As part of the SEA process, the previous Minister launched a ten-week public consultation on the draft revised Wind Energy Development Guidelines on 12 December 2019. The documents prepared for consultation are available on my Department's website at the following link: www.gov.ie/en/consultation/8f3c71-public-consultation-on-the-revised-wind-energy-development-guideline/

The consultation closed on 19 February 2020. Almost 500 submissions were received as part of the public consultation, many of which are quite detailed and technical in nature.  My Department and the Department of the Environment, Climate and Communications (DECC) have analysed the submissions received in conjunction with the contracted SEA and noise consultants, and are in the process of preparing finalised guidelines having undertaken detailed consideration and analysis of the submissions received.

My Department is currently finalising the technical guidance on the noise aspect in conjunction with DECC (which has primary responsibility for environmental noise matters). However, this piece of work is quite technical in nature and a small number of matters remain to be resolved in this regard.

Once the outstanding issues have been finalised by both Departments, the proposed amendments will need to be reviewed by the SEA consultants in order to conclude the SEA process.

My Department, in consultation with DECC, is endeavouring to finalise and publish the revised Guidelines as quickly as possible.

When finalised, the revised Guidelines will be issued under section 28 of the Planning and Development Act 2000, as amended.  Planning authorities and, where applicable, An Bord Pleanála, must have regard to guidelines issued under section 28 in the performance of their functions generally under the Planning Acts.  In the meantime, the current 2006 Wind Energy Development Guidelines remain in force.

Proposals for wind energy developments are subject to the statutory requirements of the Planning and Development Act 2000, as amended, in the same manner as other forms of proposed development.  In this connection, it is not intended to place a moratorium on planning applications for wind farm developments as referred to pending the finalisation of the revisions to the 2006 Guidelines.

Rental Sector

Questions (29, 75)

Duncan Smith

Question:

29. Deputy Duncan Smith asked the Minister for Housing, Local Government and Heritage his plans to prevent rent reviews in rent pressure zones from total rent increases of up to and including 8%, irrespective of whether or not the tenants concerned fall within the protections of the Planning and Development and Residential Tenancies Act 2020; and if he will make a statement on the matter. [33808/21]

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Cian O'Callaghan

Question:

75. Deputy Cian O'Callaghan asked the Minister for Housing, Local Government and Heritage the action he will take to stop the 8% rent increases within rent pressure zones; and if he will make a statement on the matter. [33462/21]

View answer

Written answers

I propose to take Questions Nos. 29 and 75 together.

The Emergency Measures in the Public Interest (Covid-19) Act 2020 provided that a rent increase was not permitted to take effect during the relevant emergency period from 27 March 2020 to 1 August 2020. From 1 August 2020, the blanket ban on rent increases inside or outside of a Rent Pressure Zone (RPZ) was lifted. The standardised average rent rose by 2.5% to €1,256 from Q2 2020 to Q3 2020 and remained at that level in Q4 2020.

The Residential Tenancies and Valuation Act 2020 (RTVA) provided that rent increases were not permitted to take effect during an emergency period, from 1 August 2020 until 10 January 2021, for tenants with rent arrears due to Covid-19 and at risk of losing their tenancy who make the necessary declaration. This ban on rent increases was targeted at the most vulnerable of tenants inside and outside of RPZs.The Planning and Development, and Residential Tenancies, Act 2020 (PDRTA) provides that a rent increase is not permitted to take effect during an emergency period from 11 January 2021 until 12 July 2021, for tenants with rent arrears due to Covid-19 and at risk of losing their tenancy who make the necessary declaration. This ban on rent increases is also targeted at the most vulnerable of tenants inside and outside of RPZs. The delimiting of landlords’ constitutionally protected property rights has been carefully and effectively targeted in this regard.

Rent reviews could be carried out at all times during the pandemic and rent decreases could, and can, take effect. A rent increase is not payable by relevant tenants in respect of the emergency periods identified above. It is payable by relevant tenants from the end of the given emergency period.

The maximum rent increase is 4% per annum in RPZs, irrespective of the emergency legislation. Where a landlord carries out a rent review for the first time in 2 years in an RPZ, a total increase of 8% can apply. Where a rent increase cannot be given effect for certain tenants during an emergency period, a total increase of greater than 4% can apply where the necessary rent review notice(s) have been served. In all cases, a tenant must be given 90 days’ notice before a rent increase takes effect.

The targeted ban on rent increases under the PDRTA is due to expire on 12 July 2021. The majority of tenants in the private rented sector have not been protected from rent increases since 1 August 2020. The Government published the Residential Tenancies (No. 2) Bill 2021 on 17 June 2021 which, if passed by the Houses of the Oireachtas on or before 12 July 2021, will extend the targeted protections of the PDRTA until 12 January 2022, to afford more time to the most vulnerable tenants to recover their financial stability.

The emergency protections against rent increases and evictions for the most vulnerable tenants has meant that they could remain in their home and not face higher rent during the pandemic.

My Department, the Housing Agency and the Residential Tenancies Board (RTB) keep the operation of the rental market and the Residential Tenancies Acts 2004-2021 under constant review and any necessary legislation will be progressed without delay to help provide long term security of tenure for tenants at affordable rents.

Departmental Schemes

Questions (30)

Éamon Ó Cuív

Question:

30. Deputy Éamon Ó Cuív asked the Minister for Housing, Local Government and Heritage the reason for the delay in announcing reforms to the tenant purchase (incremental scheme) 2014; when this will happen; and if he will make a statement on the matter. [33862/21]

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Written answers

The Tenant (Incremental) Purchase Scheme came into operation on 1 January 2016.  The Scheme is open to eligible tenants, including joint tenants, of local authority houses that are available for sale under the Scheme. To be eligible, tenants must meet certain criteria, including having a minimum reckonable income of €15,000 per annum and having been in receipt of social housing support for at least one year.

A review of the first 12 months of the Scheme’s operation has been undertaken. In addition, the Programme for Government commits to maintaining the right of social housing tenants to purchase their own home with some changes to eligibility. The review of the Scheme is part of a significant body of work undertaken in my Department in relation to the broader social housing reform agenda. I would hope to be in a position to publish the review and finalise changes to the Scheme once the work on these reform measures is complete.

Departmental Bodies

Questions (31)

Richard Bruton

Question:

31. Deputy Richard Bruton asked the Minister for Housing, Local Government and Heritage if the Land Development Agency has the capacity to build a significant land bank in all the key growth areas across Ireland. [33515/21]

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Written answers

The Land Development Agency (LDA) was established on an interim basis in September 2018, by way of an Establishment Order made under the Local Government Services (Corporate Bodies) Act 1971, pending the enactment of primary legislation when it will be established as a commercial State agency. 

The LDA Bill 2021 focusses on the establishment of the corporate form and financial structure of the Agency and recently concluded Committee Stage in Dáil Éireann. It provides for the capitalisation of €1.25 billion for the LDA from Ireland Strategic Investment Fund (ISIF), along with its borrowing ceiling of €1.25 billion. This capital will be utilised by the LDA to support the delivery of its projects, including the acquisition of land, on an economic basis in line with the provisions of the Bill. 

The LDA has been progressing significant preparatory work on its existing sites made available to them with potential for 4,000 homes and is also developing a pipeline of additional sites. 

Part 7 of the LDA Bill details how sites will be acquired by the LDA. With respect to public lands, on disposal of any land by a relevant public body, the land must first be offered for sale to the LDA. The LDA shall also furnish a report to Government every 2 years detailing how public lands are being utilised and identifying any lands which may be appropriate for the LDAs objectives. On receipt of such a report, the Government can direct a relevant public body to dispose of its land to the LDA. The LDA will also be empowered to purchase lands on the open market. 

It should be noted that while the LDA is required to pay market value for the purchase of public land, there will a minimum 50% affordable housing delivery requirement for relevant public lands under Part 9 of the LDA Bill, which will be 80% for such public lands in Dublin and Cork City.  This will be in addition to the increased 20% Part V social and affordable housing obligation being introduced under the Affordable Housing Bill. As such from an LDA financing perspective, the market value of such public lands will likely be significantly reduced to a nominal level in terms of the purchase price that the LDA will pay.

Local Authorities

Questions (32)

Claire Kerrane

Question:

32. Deputy Claire Kerrane asked the Minister for Housing, Local Government and Heritage the reason Galway County Council is being underfunded compared to counties of a comparable size and with a greater population; and if he will make a statement on the matter. [32357/21]

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Written answers

The funding system for local authorities is complex, with authorities deriving their income from a variety of sources including commercial rates, charges for goods and services and funding from Central Government. Local authorities vary significantly from one another in terms of size, population, population distribution, public service demands, infrastructure and other income sources, all factors which should be taken into account when comparing levels of funding in different local authority areas.

Most of the funding from Central Government must be used for specified services. These can be grouped into 5 broad programme categories: recreational, education, environment, housing and transport. Across all schemes and funding sources, my Department provided €51.1m and €82.9m to Galway County Council in 2019 and 2020 respectively. The increase between 2019 and 2020 is due to an increase in housing funding, as well as funding in respect of the Covid-19 rates waiver and other Covid related expenses that occurred in 2020.

It is a matter for each local authority to consider how it can maximise local income sources and manage its own spending, in the context of the annual budgetary process. Local authority members may decide, as part of that process, to vary the ARV and LPT in order to increase the revenue available to them.  I understand that Galway County Council has opted not to use these tools for many years.

The power to vary LPT is a reserved function and local authorities must balance those priorities against available resources. To achieve that balance, the elected members must make informed and necessary choices to balance the level of service provision with the available income. For 2021, 22 of the local authorities throughout the country opted to vary their local property tax upwards while only three have opted to vary it downwards. Arising from these variation decisions, the local authority sector will gain an additional €11.5 million from LPT when compared with 2020.

It should be noted that Galway County elected members decided not to vary the LPT rate for 2021.  My Department, as a matter of course, does not provide supplementary funding to local authorities in lieu of LPT changes; to do so would undermine one of the reasons LPT was introduced, which is to strengthen the link between the decision making of elected members of local authorities and services provided in the area. This has consistently been the position since 2015.

The Programme for Government 'Our Shared Future', commits to bringing about reforms in the workings of LPT. These reforms will involve bringing new homes, which are currently exempt from LPT, into the taxation system as well as providing for all money collected locally to be retained within the county. This will also be done on the basis that those counties with a lower LPT base are adjusted via an annual national equalisation fund paid from the Exchequer, as is currently the case.

To this end, the Minister for Finance, Paschal Donohoe T.D., recently published the Heads of the Finance (Local Property Tax) (Amendment) Bill 2021. The Bill will give effect to a package of measures in line with the Programme for Government to address the future of the Local Property Tax. The legislation required to implement those changes falls under the remit of the Department of Finance as a tax policy matter and will be considered by the Houses of the Oireachtas in due course. Minister Donohue also signalled the Government’s intent to move to 100% local retention from 2023. Any changes to the allocation process may be considered in that context.

Finally, on 13 April 2021, I met with a delegation from Galway County Council and agreed that my Department will work with Galway County Council to explore the options available to putting their finances on a more sustainable footing.

Construction Industry

Questions (33)

Pa Daly

Question:

33. Deputy Pa Daly asked the Minister for Housing, Local Government and Heritage his position on smaller building companies; and the measures his Department has in place to protect them. [33085/21]

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Written answers

Social housing construction projects (as with all publicly funded construction projects), must be competitively tendered, in accordance with the public procurement guidelines, to ensure transparency as well as value for money for the tax-payer and must comply with the Government’s Capital Works Management Framework (CWMF). The CWMF is for use by contracting authorities involved in the expenditure of public funds on construction projects and related consultancy services. 

Social housing construction projects are delivered by Local Authorities (or approved housing bodies on the Local Authorities behalf).

Local Authorities can, and in many cases do utilise Public Works Framework Agreements to procure construction works for projects of a certain type and value ranges, including small construction/maintenance projects. A Framework is a list of suitable contractors, who have prequalified following an advertised competitive process. The pre-qualified framework contractors then compete in a mini-competition for specific projects, which streamlines the procurement process for both the contracting authority and the tendering party.

Housing Provision

Questions (34, 64)

Bernard Durkan

Question:

34. Deputy Bernard J. Durkan asked the Minister for Housing, Local Government and Heritage if he will consider a plan to dramatically increase the supply of houses at the earliest possible date in order to address the issue of affordable houses for first-time buyers in view of the levels of inflation in the housing market rendering it virtually impossible for first time home seekers to provide themselves with an affordable house either by purchase or through the local authority; and if he will make a statement on the matter. [33844/21]

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Bernard Durkan

Question:

64. Deputy Bernard J. Durkan asked the Minister for Housing, Local Government and Heritage the extent to which major building contractors can be employed to build affordable houses for sale or for rent to suitably qualified persons on lands made available through the local authorities in order to address the most urgent aspects of the housing shortage which is likely to remain for the foreseeable future; and if he will make a statement on the matter. [33845/21]

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Written answers

I propose to take Questions Nos. 34 and 64 together.

This Government is absolutely committed to ensuring that affordable, quality housing solutions are available to everyone in Irish society and this is reflected in the Programme for Government.

Over €3.3 billion has been made available in 2021 for housing - the largest budget in the history of the State. This year alone we are providing capital funding specifically to cover affordability measures including:

- €110 million for a new Affordable Purchase Shared Equity scheme and a new Equity Loan Facility to deliver Cost Rental homes;

- €50 million in Serviced Sites Funding to deliver affordable houses for sale or rent on Local Authority lands;

- €38 million in Local Infrastructure Housing Activation Funding which will support the delivery of homes on private lands including many at discounted prices; and

- €205 million to be spent by the Land Development Agency in its progression of housing including affordable homes; and

- €210 million is being made available for lending under the Rebuilding Ireland Home loan for those who cannot secure the necessary commercial loan and the Help To Buy scheme is also available via the Department of Finance.

I am also currently progressing the Affordable Housing Bill 2021 - the first ever stand-alone legislation providing for affordable housing measures. This will give a statutory basis for the introduction of Affordable Purchase and Cost Rental schemes. This Bill is currently proceeding through the Houses of the Oireachtas.

Housing Provision

Questions (35)

Rose Conway-Walsh

Question:

35. Deputy Rose Conway-Walsh asked the Minister for Housing, Local Government and Heritage the number of new social homes delivered via build programmes that will be delivered in County Mayo in 2021; and if he will make a statement on the matter. [33921/21]

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Written answers

Increasing the supply of public, social and affordable homes is priority of this Government.  The Programme for Government includes a commitment to deliver 50,000 new social homes with a focus on new build homes. This commitment was underpinned by investment of €3.3bn towards housing programmes in Budget 2021. Subject to the impact of COVID-19, this investment will fund the delivery of 12,750 new social homes in 2021, including 9,500 new build homes.  In December 2020, I issued delivery targets for 2021 to each local authority, with Mayo County Council set a target to deliver 156 new homes, including 91 new build homes.

The Social Housing Construction Status Report is published each quarter and provides scheme level detail on social housing new build activity in each local authority, including Mayo. Details on each stage of a project can be found including when a development moves onsite and when it is complete. The most recent report covers the period up to the end of Quarter 1 2020 and provides details of 62 social housing schemes in Mayo. The report also shows there are 79 homes onsite across eleven schemes, of which 57 are due to complete in 2021. A further 207 homes are at various stages of the design and pre-tender process.

The restrictions introduced to combat the spread of COVID-19 meant that most housing construction was halted from 8 January to 12 April 2021. These restrictions have meant that some housing projects, which were scheduled for delivery in 2021 may now be delayed until 2022. I have asked all local authorities to work closely with developers, contractors and AHB delivery partners to ensure that the maximum number of new social homes are delivered this year.

Housing Provision

Questions (36)

Neale Richmond

Question:

36. Deputy Neale Richmond asked the Minister for Housing, Local Government and Heritage the status of the future of strategic housing developments; and if he will make a statement on the matter. [33050/21]

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Written answers

The Planning and Development (Housing) and Residential Tenancies Act 2016 (the Act) introduced new streamlined arrangements to enable planning applications for strategic housing developments (SHDs) of 100 housing units or more, or student accommodation or shared accommodation developments of 200 bed spaces or more, to be made directly to An Bord Pleanála for determination.

The Programme for Government - Our Shared Future commits to not extending the SHD arrangements beyond their legislative expiry date of end December 2021, which has now been extended to 25 February 2022 arising from the Covid-related extension of statutory deadlines within the planning system by 8 weeks in respect of the period March to May 2020.

Work is ongoing on the development of new legislative proposals for the wind-up of the current SHD arrangements and the submission of large-scale housing planning applications (including student accommodation) to local planning authorities. It is intended to publish a General Scheme in this regard as soon as possible.

Planning Issues

Questions (37)

Mick Barry

Question:

37. Deputy Mick Barry asked the Minister for Housing, Local Government and Heritage if he will examine planning laws and practices to identify areas of the law that encourages gentrification; and if he will make a statement on the matter. [33892/21]

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Written answers

It is relevant to note that, under section 94 of the Planning and Development Act 2000 as amended, each planning authority must include a housing strategy in any development plan it makes to ensure that the proper planning and sustainable development of the relevant area provides for the housing of the existing and future population of the area in the manner set out in the strategy.

Specifically, under section 94(3), the strategy must take into account the need to “ensure that housing is available for persons who have different levels of income” as well as the need to “counteract undue segregation in housing between persons of different social backgrounds.”

Beyond this issue, I would be happy to provide further information if the  Deputy could advise as to what aspect of planning law or practice he may have in mind.  The term ‘gentrification’ is not referenced in current planning law or practice. 

Departmental Funding

Questions (38)

Patrick Costello

Question:

38. Deputy Patrick Costello asked the Minister for Housing, Local Government and Heritage if an additional €50,000 departmental subsidy per unit to the cost-rental programme at St. Michael’s Estate, Inchicore will be committed to. [33865/21]

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Written answers

Under the Serviced Sites Fund (SSF), since its inception, the maximum funding available towards the cost of facilitating infrastructure is €50,000 per affordable home delivered. 

However, the Programme for Government 'Our Shared Future' contained a commitment to improve the delivery of affordable homes and to extend the SSF in this regard. To inform a review process of the scheme, I met with the Chief Executives of local authorities earlier this year and sought their views in relation to amendments that may improve the capacity to deliver more affordable homes in a shorter time-frame.  It is my intention to use the experience to date of local authorities, along with that of my own Department in managing the SSF, to bring forward any amendments to the scheme's operation I consider necessary.  

Proposals to amend the SSF are well advanced and officials from my Department continue to liaise with the Department of Public Expenditure and Reform in this regard.  I expect that amendments to the Scheme will be announced in the coming weeks.

Rental Sector

Questions (39)

Donnchadh Ó Laoghaire

Question:

39. Deputy Donnchadh Ó Laoghaire asked the Minister for Housing, Local Government and Heritage if he will resolve the loophole in legislation that is preventing the entirety of the Carrigaline municipal district from being designated a rent pressure zone as the majority is but the remainder cannot currently be so designated. [33052/21]

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Written answers

The Ballincollig-Carrigaline Local Electoral Area (LEA) was designated a Rent Pressure Zone (RPZ) on 27 January 2017 under section 24 of the Residential Tenancies Acts (2004-2021).

 New Local Electoral Areas and Municipal Districts were signed into law on 31 January 2019 for Cork City and County (which took into account the expanded Cork City boundary) for the May 2019 local elections.  The new LEAs and Municipal Districts see the old Ballincollig-Carrigaline LEA being split, with Ballincollig becoming part of Cork City Council. Carraigaline and its hinterland are now contained within its own LEA and Municipal District, which is wholly within the remit of Cork County Council. 

The areas within the new Carraigaline LEA which were designated as a RPZ under the old Ballincollig- Carraigaline LEA remain designated as a RPZ under section 24A(6) of the Residential Tenancies Acts, which provides that  “Where a local electoral area is prescribed by order as a rent pressure zone and, subsequently, any local electoral areas are duly amended in a manner that affects the area of the local electoral area so prescribed, then the order shall continue to have effect as if the local electoral area concerned had not been so amended.”

Therefore, under Section 24A(6), areas already designated as RPZs will remain designated and areas that are not designated nor due to become part of Cork City Council will retain their current undesignated status.  Areas within the new Carraigaline LEA that were not previously designated as a RPZ remain undesignated.

Under the Residential Tenancies (Amendment) Act 2019 the expiry date of all deemed and designated RPZs is extended to 31 December 2021. The Act further provides that any area falling within the new Cork City Council boundary, which was not already within a RPZ, became an RPZ from 31 May 2019. 

I am currently considering what, if any, rent control measures are needing beyond January 2022.

The Housing Agency and the RTB will continue to monitor national rents and if the Carraigaline LEA meets the designation criteria it will be designated as a RPZ.

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