Sluggish private sector delivery of homes not helped by Rebuilding Ireland - Eoin Ó Broin TD
Sinn Féin Housing spokesperson Eoin Ó Broin TD has claimed that Rebuilding Ireland is failing to stimulate the delivery of enough new homes. Despite significant subsidies to the private house building sector, delivery is slow and no affordability dividend is being provided.
Deputy Ó Broin said:
“Rebuilding Ireland commits to delivering 25,000 new homes per year. According to the CSO only 14,500 new dwellings were built in 2017.
“Via Rebuilding Ireland the government has introduced a number of incentives to get the private market delivering homes.
“Between the Help to Buy tax break, the €200m Local Infrastructure Housing Activation Fund (LIHAF), Home Building Finance Ireland, the Rebuilding Ireland Home loan the government is offering a slew of tax payer funded incentives with no guarantee of affordability in return.
“Even all these aforementioned incentives combined with the new fast track planning regime and reduced apartment sizes have not led to an adequate ramping up in delivery, with only 3,500 new dwellings completed so far in 2018.
“Stakeholders from across a wide range of sector have voiced their concerns about the lack of supply of affordable homes in towns and cities. In the two years since Rebuilding Ireland was published, not one genuinely affordable home has been delivered via government backed schemes.
“The government needs to accept that increasing supply in and of itself will not reduce costs. This is evidenced by the fact that despite over 93,000 new units being built in 2006 house prices were approaching peak boom prices.
“We need to see state investment on public land in order to deliver homes that are truly affordable for ordinary workers. Until the government begins to see itself as a provider of public housing, the private market will continue delivering for the few."