This Bill, by its title, continues the remission of rates for a certain limited class of residences and extends the period of qualification for residences completed before 31st March, 1946. From 1925, onwards, remission of rates has been granted on buildings which were not the subject of remissions by virtue of certain Acts, to which I shall refer shortly. In 1940, the Local Government (Remission of Rates) Act, 1940, confined remissions to dwelling-houses or to portion of buildings which were for residential purposes and for a separate family. The Act provided two-thirds remission of rates for five years for dwellings completed before September, 1942. An amending Act, in 1943, extended the 1940 Act to operate till 31st March, 1945. The purpose of the present Bill is, as above said, to extend further the period for one year.
In the course of the Second Reading of this Bill in the Dáil a number of Deputies appeared to have great difficulty in understanding what was the nature of the buildings which this Bill covers, and although a number of Senators may be aware of exactly to what it refers, I propose, in order that there may be no misunderstanding, to indicate very clearly the scope of this Bill. As I have said already, the Bill is one that simply continues the remission of rates for a period of one year. It has no new principle in it, but since some members of the Seanad may not be quite clear as to its character, I shall proceed to give some further details. Now, the original Act upon which this Bill is based excluded a whole series of buildings from this remission qualification. First of all, they excluded all buildings constructed under the Labourers Acts, 1883 to 1937. These were cottages built by local authorities and receiving a subsidy, growing as time went on, especially since the coming into office of the present Government. Therefore, quite naturally, there was no rate remission in connection with these cottages, since at a later date these cottages could be purchased on favourable terms, and the terms were so favourable that it was felt that no remission of rates could be granted in connection with improvements on cottages after they had been purchased. Another group of dwellings not affected by the 1940 Act, on which this Bill is based, were those built under the Housing Acts, 1890, 1931 and 1932. These consisted amongst others of houses built by local authorities, and in the case of which grants were given. As in the case of the cottages, naturally, there was no remission of rates there either, since a large subsidy had already been granted in connection with the building of these houses. Another group of houses excluded was in connection with the Housing Acts, 1924-25-31, and the amendment of these Acts thereafter. These Acts dealt with grants which were limited by the cubic space of the house, but also provided grants for the reconstruction of houses, including rural houses. In the case of reconstruction there was a rates remission for seven years. The reconstructed portion was not subject to re-valuation, and there was no extra rate imposed on the reconstructed portion for seven years. In connection with the actual remission, there was a two-thirds remission for seven years, but this Bill does not apply to that type of house. It does not apply, moreover, to houses built under the Gaeltacht Housing Acts, in connection with which there were special facilities for owners of houses built in the Gaeltacht area, where there was a remission for a period of 20 years.
Now, I have given to members of the Seanad the Acts to which this Bill has no relation, and I now have left the question of what houses or types of houses the Bill does apply to. It applies to buildings which are not in receipt of Government or local assistance. In fact, it applies to large residences—houses built by private persons or private companies for residential purposes with a cubic area over and above that of the houses which receive grants. It applies, for example, to the reconstruction of large houses into flats. It applies to improvements effected to large residences for which no grants are available. If a farmhouse requires reconstruction or if a farmhouse is to be built or if an improvement is to be added to a farmhouse and the valuation is over £25, as Senators know that farmhouse does not receive assistance under the Housing Acts. In that case, the remission of rates provided for in the Act of 1940—two-thirds for five years—applies to such dwellings. In the rather remote case where a farmhouse was under £25 in valuation and a form of reconstruction was carried out which did not conform with the Acts and the owner was refused a grant, he might be able to qualify under the 1940 Act. In connection with the houses for which remission of rates is granted, included in "improvements to houses" are such things as garden houses, motor houses or servants' quarters. Therefore the remission of rates which is being continued to 31st March, 1946, applies only to a limited number of dwellings. It is very difficult for me to estimate the number of dwellings in respect of which rates have already been remitted. We know that there are about 5,000 in Dublin. That would include not only new buildings but improvements to old buildings. One might make a guess that 10,000 or 15,000 dwellings or improvements to dwellings benefited under the 1940 Act and previous Acts.
The reason for this Bill is that it was felt desirable to continue the policy for one more year of granting these remissions of rates, particularly in view of the uncertain position regarding supplies and the fact that a number of houses the completion of which was anticipated have not been completed owing to emergency conditions. The continuance of these remissions does not imply that the Government have decided what their policy will be in the future. Many of the conditions attending housing development have altered. It may or may not be desirable in the future to continue this legislation, but that does not arise on this Bill, which is merely one for the continuance of the privileges granted up to date.
Certain Deputies asked in the Dáil whether farm buildings—byres, stables and outhouses—were covered by this Bill. The answer is that they are not covered by the 1940 Act, whether or not they had previously received a Government grant. When constructed, they are freed from rates for seven years and they are outside this legislation, which applies entirely to dwelling-houses. Dwelling-houses, under this Bill, must be for separate families. That would exclude institutions or buildings for housing people collectively. It is definitely stated in the 1940 Act that it applies only to houses for separate families. The continuance of this remission of rates will also apply to the residential portion of a building which has some other use, such as a garage with a dwelling above it. it or a shop with a dwelling above it. The remission of rates will apply only to the residential portion of that building. I hope I have made as clear as possible to Senators the very limited nature of this Bill and I recommend it for Second Reading because the Government is of opinion that the privilege should be continued, particularly in view of the emergency. The whole matter will be reviewed when housing conditions change and when conditions in relation to materials and the inducement given to builders to construct houses come under consideration again. Members of the Seanad will be aware that, to a very large extent, builders and landlords do not pass on this remission of rates to those who occupy the houses. It is definitely an inducement to them to employ their capital for building purposes. It is an inducement to those builders who cannot avail of any grant or subsidy to construct or reconstruct large dwellings or residences or to convert large residences into flats or to improve large dwellings or residences.
