Alan Farrell
Question:299. Deputy Alan Farrell asked the Minister for Finance the consideration he is giving to the residential zoned land tax and the impact on house prices; and if he will make a statement on the matter. [36047/23]
View answerTuesday, 25 July 2023
Questions (299)
Written answers
The residential zoned land tax (RZLT) is designed to prompt residential development by owners of land that is zoned as suitable for residential development purposes and that is serviced. The principal purpose of the measure is to change the behaviour of the owners of such land, rather than to raise revenue, and to encourage development in areas where the residential zoning of the land acknowledges a housing need.
Housing for All (HfA), the Government’s plan for housing, aims to increase housing supply to reflect the need for an average of 33,000 new homes per annum between 2020 and 2031. RZLT is one of a range of measures within the Housing for All Strategy to support a sustained increase in the output of housing and to enhance the viability of residential development, through the additional measures set out in Pathway 1 – Supporting Homeownership and Increasing Affordability and Pathway 3 – Increasing New Housing Supply.
A number of deferrals from the tax have been provided for in legislation including in circumstances where a commencement notice has been lodged in relation to land following the grant of planning permission. By ensuring development of land for housing takes place in a consistent manner and at sufficient pace to meet demand, increased supply as a result of the measure will help address issues of affordability for prospective homeowners.
The RZLT measure remains a key pillar of the Government’s response to address the urgent need to increase housing supply in suitable locations.