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Dáil Éireann díospóireacht -
Thursday, 22 Feb 2001

Vol. 531 No. 2

Other Questions. - Housing Forum.

Willie Penrose

Ceist:

6 Mr. Penrose asked the Minister for the Environment and Local Government the number of meetings of the Housing Forum provided for in the Programme for Prosperity and Fairness held to date; when it is expected that the forum will complete its work and publish a report; and if he will make a statement on the matter. [5156/01]

It was agreed in the Programme for Prosperity and Fairness that the forum would meet quarterly over the lifetime of the programme and, accordingly, it is not intended to produce a specific report or reports by particular dates. However, the timing and nature of reports, if any, will be decided by the forum in the context of its ongoing work.

The forum has considered a range of issues to date, including the report, Social and Affordable Housing and Accommodation – Building the Future, published by the National Economic and Social Forum, and the report of the Commission on the Private Rented Sector. Progress reports on the implementation of the measures contained in the Government's Action on Housing have also been considered and a framework for information provision to facilitate the forum's monitoring role has been agreed.

Has the forum expressed an opinion on the housing crisis? Has it communicated to the Minister of State the concern of all elements of the social partners, trade unions and employers, that the housing crisis represents the biggest threat to future economic prosperity and the future of the partnership process?

All members of the forum agree on the need to ensure the housing programme is brought into equilibrium and that the strong demand in the economy is met. This requires a substantial increase in output from the house building industry. The forum has recognised the increases which have been achieved to date. We must ensure the wherewithal to achieve the target of 50,000 new houses a year during the period of the Programme for Prosperity and Fairness is in place. Various measures have been taken by the Government and these matters are discussed at the forum. Its views are taken into account in policy formation and financial priorities which are determined to ensure needs are met where they can help the output of the house building industry.

Surely, the Minister of State is not trying to inform the House that the Housing Forum has expressed satisfaction with the Government's performance in the housing area? Is the Housing Forum satisfied with the rate of progress or lack of it in the construction of local authority dwellings and the fact that last year only one quarter of the number of approved dwellings were completed by local authorities?

Questions have been tabled about the local authority house building programme. All members of the forum are agreed on the targets laid down in the national development plan and their achievement.

The question is about performance.

The programme to build 25,000 local authority houses during the lifetime of the national development plan is agreed. Anything that interferes with the achievement of that objective would be of major concern to all sides of the forum, including the Government representation.

Has the forum expressed an opinion on the virtual disappearance of the private rented sector in terms of investment in the industry and the creation of a cartel which has pushed up rents by almost 100% in some cases? Has it expressed a view on the measures which have decimated supply in an area where demand is growing?

Has the forum made a link between energy demand in the housing sector and the growing difficulties in providing energy? Are the housing regulations appropriate to the international standards needed for energy conservation to ensure energy demand is minimised given the shortages the country is facing?

The Minister of State mentioned the need to focus on the output of the house building industry. Has the forum commented on the affordability of housing, which is a key element? There is a gap between buying a local authority house and a private house. People cannot get on the housing ladder.

The energy efficiency of housing is of general interest and concern. The terms of reference of the forum relate to monitoring developments in the supply and affordability of housing, mentioned by Deputy Clune. Regarding rent increases, there is a correlation between the level of house prices and the level of rent increases, approximately 14%, on average, last year in both cases. We recognise that supply is the real solution to what is happening in the market place. All efforts must be devoted to seeking to increase the level of supply to match the level of demand, and in that way to take some of the real heat out of the marketplace which is taking advantage of the situation in current circumstances.

Which is not supply.

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