Dáil Éireann Debate, Tuesday - 5 April 2022
318. Deputy Sean Sherlock asked the Minister for Housing, Local Government and Heritage if he will report on the Housing for All plan to introduce radical new modern Kenny report style powers to ensure sharing of the increase in land values from re-zoning decisions and greater community gain. [17547/22]
View answerThe Report to which the Question refers is that of the Committee on the Price of Building Land presented to the Minister for Local Government in 1973. The Report considered what measures could be undertaken to ensure that a substantial portion of the increase in land value attributable to the decisions of public authorities, could be secured for the benefit of the community.
A commitment was included in the Programme for Government to review how such community gain proposals could be captured and the principle of Land Value Sharing was subsequently adopted in Housing for All. Land Value Sharing involves securing a share of the difference in land value before zoning or designation and the point at which planning permission is granted. Land Value Sharing will apply in the first instance to all newly-zoned residential land, and to Urban Development Zones which are also proposed in Housing for All. Urban Development Zones will provide for a coordinated plan-led approach to the development of areas with significant potential for residential and urban growth, where Land Value Sharing will also apply and will involve land assembly provisions to ensure that land critical to the provision of infrastructure can be secured.
In line with Housing Policy Objective 12.1 contained in Housing for All, my officials are now in the process of developing Land Value Sharing Mechanisms.
A General Scheme for a Heads of Bill was approved by Government in December 2021 outlining the general provisions for the establishment of Land Value Sharing obligations. Work is now progressing on the more detailed aspects of how this legislation may be implemented, including all necessary due diligence and scrutiny. A detailed economic appraisal of the proposed measures, involving an assessment of the potential implications in different locations and circumstances, is being undertaken to determine what uplift in value would be reasonable for the State to secure. This includes independent expert advice. This research and expert advice will provide the basis for the detail of these measures.
A key aspect of this work will include stakeholder engagement, including with representatives of Local Authorities and State agencies, through a working group to ensure a workable set of measures is progressed. Proposals for engagement are currently being finalised in parallel with the economic appraisal, with detailed drafting of the Bill to commence in Q3 2022 and the enactment of the legislation proposed for Q4 2022.
