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Dáil Éireann díospóireacht -
Tuesday, 12 May 1936

Vol. 62 No. 1

Committee on Finance. - Money Resolution—Labourers Bill, 1935.

I move:—

Go bhfuil sé oiriúnach a údarú go n-íocfaí amach as airgead a sholáthróidh an tOireachtas costaisí ar bith fé n-a raghaidh an tAire Rialtais Aitiúla agus Sláinte Puiblí fé Acht ar bith a rithfear sa tSiosón so chun socruithe do dhéanamh chun tionóntaithe iostán agus plásán do cuireadh ar fáil fé Achtanna na Sclábhaithe, 1883 go 1931, do cheannach na n-iostán agus na bplásán san, chun na nAchtanna san do leasú, agus chun socruithe do dhéanamh i dtaobh nithe iomdha baineas leis na nithe roimhárite.

That it is expedient to authorise the payment out of moneys provided by the Oireachtas of any expenses incurred by the Minister for Local Government and Public Health under any Act of the present Session to make provision for the purchase by tenants thereof of cottages and plots provided under the Labourers Acts. 1883 to 1931, to amend the said Acts, and to make provision for divers matters connected with the matters aforesaid.

On the 27th November last we heard about the Labourers Bill. Now, nearly six months have passed, and in a most remarkable way the dust has to be taken off the Minister's papers and off ours in order to discuss the matter to-day. When we dealt with the matter last month the Minister and his backers in the country took exception to some of the words used here. I think it is important that the Minister would clear away any misconception there was at that particular time, and deal here now with what this Bill is going to cost the State and to some extent indicate what it is going to pay for that cost. On the Second Reading Stage I described this Bill as the raising of the curtain on the third act of the great Fianna Fáil swindle. The Minister considered that I hardly knew what the word "swindle" does mean or might mean, or even if I did not, there was very little excuse for my using the language I used at the time.

On the barely financial side of things, I would like to bring this to the notice of the Minister—a committee was set up in November, 1932. It was understood that there was six months' work in front of it. On the 13th of January, 1933, after I expect a general election had been declared, we all read in the columns of the Irish Press, and in the Irish Press alone, an elaborate statement as to what the interim report, said to have been issued by the committee, contained. We read therein what the report set out could be done for 42,000 people; we read that in the columns of the Irish Press on the 13th January, 1933. The two other Dublin papers and the Cork Examiner were only able to get that report on the 14th of January, but the members of the Dáil never got an opportunity of making themselves acquainted with the document that was then called an ad interim report. However, what we are now concerned with is what the ad interim report contained. According to the Irish Press that report stated: “Rents are to be reduced by 25 per cent., payable quarterly instead of weekly to save collection expenses”; and it stated that the rates were to be relieved to the extent of £50,000, while the cottier tenants would benefit to the extent of £32,000, and that the scheme proposed by the commission was one “which would not impose any further charge on the State.”

In the first place, the House wants to get some kind of clear information from the Minister as to whether this measure before us is intended to relieve the tenants of £32,000 a year; whether it is expected to relieve the local authorities or the ratepayers of £50,000 a year, or whether it is expected to put no charge on the State? Anybody who knows anything on the subject will agree that the tenants cannot be relieved to the extent mentioned, and that the local authorities cannot be relieved to the extent mentioned, without putting an increased burden on the State. We would like to know from the Minister what increased burden, if any, is to be borne by the State as a result of this measure being put into operation, and what other expenses are going to arise as a result of it. If the Minister cannot make this measure in its working out live up to the statements that were so prominently and enthusiastically published on the 13th of January, 1933, then all that has been done up to the present in connection with the promises and hopes held out to the cottage tenants is nothing but a gigantic Fianna Fáil swindle. Before proceeding with the Committee Stage, I think we should have a full explanation of the financial implications and proposals of this Bill.

Sir, in asking this House for money, and in his endeavour to put the House in possession of the facts of the amount of money required, the Minister might have told us to what extent he was to finance this Bill by moneys received from the local authorities at present, and which were repayments of loans received from the British Government in the old days— moneys which are now supposed to be used as revenue. When the Minister comes in here and demands money for this particular Bill, he should give us that information. This Bill, I am afraid, on the face of it, is not a Bill of which advantage will be taken. When the Second Reading of the Bill was being debated, the case had been made, and I think rightly, that these moneys were due to the local authorities throughout the country under the head of local loans, which are now being collected by the Government as revenue. These loans had originally been used to build those cottages. I do not think there was any satisfactory answer given to this line of criticism at the time. I had rather hoped, as this Bill has been so long in its incubation period—since November last until now—that the Minister would drop it and give us something of use. I say that, because under the Bill which we are proposing to finance to-day purchase is optional as far as the tenants are concerned. Obviously, in an optional scheme, there must be some attraction to the purchaser. If there is anything to attract the cottier to buy his house under this Bill, it has not been shown at any time by the Minister.

As far as the figures supplied by the famous Commission are concerned, figures to which Deputy Mulcahy has referred, it would appear that the charges upon the cottiers are to be increased. If that is so, and if the purchase is optional, it does appear on the face of it that the purchase scheme of the Bill is not going to be availed of. But with all these facts in front of him the Minister comes in and asks the Dáil to finance this particular scheme. I do not think the scheme deserves to be financed. I do not think it is going to be taken advantage of. At present the Government is in possession of certain moneys which ought to be devoted to this purpose. I should like to hear something on that matter from the Minister. The whole question of labourers' cottages has been so advertised by the present Government Parties that the House is entitled to know what are the advantages of this Bill to the ratepayers or to the labourers, so far as the purchase scheme is concerned. None of these matters has been made clear to the House, and we are entitled to have some information from the Minister on the matter.

The Minister to conclude.

I submit we are in Committee.

It is evident I think from the remarks of Deputy Mulcahy and Deputy Brennan that it is not really for the purpose of looking for information they made their speeches, but to try to impede as much as they can the passage of this Bill through the Committee Stage. Deputy Mulcahy rehashed the old stale charges he made here during the discussion on the Second Reading. The House was then given the full facts relating to the Bill. The information that the Deputy then asked for was, if I recollect correctly, put fully before him. He had not anything new to say nor any new question to ask, so he looked up his old speech just to see if there was anything of an insulting kind particularly, though I am so used and the House are so used to that kind of thing from Deputy Mulcahy that it flows very easily over us. The Deputy knows as well as I do that there is no increased burden to be put on the State. But the fact that he knows it would not prevent him from making a speech of that kind.

There is a contribution of approximately £74,000 payable by the State in respect of the pre-war cottages and that is not going to be increased. There will be certain advantages to the tenants of the cottages if they wish to avail themselves of the Bill, if it passes the Oireachtas. Deputy Brennan says that in his opinion there will be none and that it will not be availed of. As the House knows, the principle of the Bill is permissive. It is not mandatory in any way, except that the local authorities must produce a scheme. That is the only thing that is mandatory. If there is not any attraction for the tenants in it, then they need not avail themselves of it. If Deputy Brennan thinks that the terms are not good enough for the tenants, he has not put down any amendment. Deputy Morrissey has, I know. Deputy Brennan, so far as I know, has not. Probably Deputy Morrissey speaks for Deputy Brennan in this matter.

I believe that it will be found that the tenants will find it to their advantage to become the owners of their cottages and plots on the terms offered. I am strengthened in that belief by the number of letters I have received from various cottage tenants' organisations pressing for the early discussion and passing of the Bill. If I had been free from other duties, I would have been glad to have the Committee Stage of the Bill taken earlier. It was owing to pressure, that I think might be obvious to the House, of work on my own shoulders in particular in the last couple of months that the Committee Stage was not taken earlier. Why Deputy Mulcahy thinks it is being rushed to-day I do not know. Deputy Mulcahy says it is being rushed and is being taken as a matter of urgency. Deputy Brennan complains that it has been delayed too long. There is not much unanimity of opinion between these Deputies, although they both occupy the Front Bench.

I made no complaint.

Deputy Brennan said that it was discussed last November and that we are only getting the Committee Stage now. What was that intended for but a complaint? He complains that it has been delayed and Deputy Mulcahy complains that it is brought up too quickly. They can fix up the row between themselves. Any information that is wanted on the finances of it I think has already been given. If there is anything else in the way of figures that the House wants I shall be glad to give it. It is the right of the House to ask for it and it should be given. I would, however, suggest that the type of speech that Deputy Mulcahy started out upon is rather one for the Second Reading and one that he made on the Second Reading, and he added nothing new or novel to it to-day. He loved his offensive remarks so much that he thought he must repeat them. The financial effect of the scheme, as compared with the existing position, is estimated as follows—the figures for the existing position are taken for the year 1931: Expenditure:—Annual loan charges, £267,533; repairs, £50,138; fire insurance, £2,451; cost of rent collection, £16,367; other outgoings, £9,806— total, £346,295.

Is that for the year 1931?

Yes, for the year 1931.

What is the figure for repairs in 1935?

We can hardly get it for 1935, but for 1934 we might be able to get it.

What does the £267,000 represent?

Annual loan charges. The figures for the receipts are: Rents, £129,356; State subsidies, £73,593; other receipts, £1,914—total, £204,863. To be raised from rates, £141,432. That gives the balance. Under the proposed sale scheme the position is estimated as follows:—Estimated annual loan charges, £267,533— the same figure; fire insurance, £2,251; cost of rent collection, £12,000; other outgoings, say, £7,400; total, 289,384. Receipts: rents, £97,000; State subsidies, £73,593—the same as before; other receipts, £1,914; total, £172,507. Deficit to be raised from rates, £116,877. Under the scheme the loss falling on the local authorities would be reduced by £24,566—that is estimated, of course. Tenants' rents will be reduced by £32,356, while the cost of repairs and maintenance will be borne by the tenants. In 1934 the gross cost of repairs was £44,000.

Will the Minister say how, within the framework of this Bill, we are to get at these figures? Having made it mandatory on the local authorities—the boards of health—to prepare schemes in certain circumstances, what data have they to go on which, worked all over the country, would produce the figures which the Minister has read? I see nothing in the Bill that would give that information. There is no data, no formula by which a scheme would be prepared and submitted to the Department of the Minister. The Minister may consider a scheme, reject it or send it back, and have a new one prepared. As a member of a board of health, I ask, if the Bill becomes an Act, pending a requisition for a scheme, are we to set about preparing one? If so, I see nothing in the Bill to help me to prepare such a scheme.

The Minister must have some formula in mind if he can read out figures here that will be produced by his scheme. Suppose we had one general scheme in the whole country—and that is what the Minister bases his figures on—and if boards of health were to proceed to work in harmony, and all to start at the same time, must they not have some formula such as the Minister had? Where are we to get that formula? Will the Local Government make orders and regulations, and when the boards of health are ready will they get their plans, or receive from the Local Government Department instructions how they are to fill in their schemes? If not, I cannot see how the Minister could give the figures he quoted here. I would like some enlightenment on that. In my opinion that is the great flaw in the Bill. The Minister is throwing the onus on the local authorities and not giving them any direction. The Minister ought to give some clear and specific directions.

The Minister tells us that the only thing that was right in the statement issued by the Government Press in January, 1933, was that there would be no additional charge upon the State. The figures, as quoted now, and for which Deputy Belton cannot see any basis, are based on the complete operation of this Bill, so that every cottage now built is transferred to every tenant. On that basis, and assuming the Minister has machinery, and that there is so much general oil to run that machinery, all this is going to come to pass. The Minister's figures disclosed that instead of relieving the rates of £50,000 per annum, there will be a reduction in that relief to the extent of £24,000. And instead of relieving tenants to the extent of £32,000, the tenants, if they purchase their cottages under this well-oiled scheme of the Minister, are going to have an increase of £17,782 in cost of repairs; so that, under the Minister's scheme, where the tenants are going to be reduced £32,000 in their rents, instead of getting that reduction of £32,000 there is going to be an increase of £17,782. Even though tenants can reduce the cost of repairs, as compared with what the Minister says took place in 1935, nevertheless repairs are going to cost the tenants £12,000 a year more to keep the roofs over their heads. For that reason, all that has been said by the Government Party, up to this, in encouraging tenants to think that they are going to retain their homes at a reduced cost, is nothing but a swindle. The Minister is asking us to sanction the expenditure of moneys for a variety of machinery that is going to bring such a state of affairs about. I do not think any money should be voted that would bring about such a state of affairs as will increase the cost to the tenants by from £12,000 to £17,000 a year.

There is no machinery of the detailed kind that Deputy Belton called attention to provided in the Bill. But instructions will be issued in accordance with the Bill when it becomes an Act. Individual counties will be taken into consideration and boards of health will be asked to put up schemes on the basis of the Act and to act in accordance with the instructions. We found it would be too great a task to put into the Bill machinery to cover all the conditions that exist in all the counties in regard to these matters. There are such a variety of conditions with regard to the building of these cottages and such a variety of regulations in these Acts under which they were built that it was thought better, from the point of view of the boards of health and the cottagers, to leave that matter as elastic as possible, so that in arranging schemes later on, the best possible terms for the boards and the cottiers and such as would be fair and just to both should be arrived at. It would be very difficult to set out all the details in connection with the various cottages built under the various Acts, and where the financing has been so very different under the various schemes. With regard to the arrangement of a scheme that would be produced by the boards of health in consultation with the Department of Local Government providing for as even a division of the financial responsibility for tenants coming under this scheme, it was thought it would be better to leave that matter for discussion between the boards of health and the Department of Local Government and Public Health. I do not think that tenants or boards of health will suffer because we have not set out in detail what this scheme should be.

Deputy Mulcahy says it is a swindle. Well, the proof of the pudding is in the eating of it. If the tenants think it is a swindle they will not have anything to do with it. Perhaps, from the tenants' point of view, it would be a good thing for them to hear that Deputy Mulcahy calls it a swindle, that is if any of them pays any attention to Deputy Mulcahy's words. I do not think there are many that will. They will weigh the pros and cons and will see for themselves the value of Deputy Mulcahy's figures, and whether it is worth while to pay £12,000 more as he says, on the whole, to be the owners of their own cottages and plots in perpetuity. If it is worth that, they will put in their applications to be considered under the purchase scheme. If they think it is a swindle, as Deputy Mulcahy said, they will not purchase and there the matter will end.

Resolution put and agreed to.
Resolution reported and agreed to.
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