Central Bank report is honest reflection on housing
- New financial models needed for delivery of housing
- Time to activate and leverage savings for Irish savers
Labour housing spokesperson Conor Sheehan has called on the Minister for Housing to come clean with people once and for all on what will be delivered under Fianna Fáil and Fine Gael when it comes to housing.
Deputy Sheehan said:
“The bombshell report from the Central Bank today is the latest in a series of reports and assessments that this Government needs to wake up to. This is an honest assessment of where the housing market is at. Fianna Fáil and Fine Gael have been talking out of both sides of their mouth when it comes to housing, but there is no hiding from fact.
“They say the trend is your friend and with this Government and this Minister, housing completions are trending downward, while rents, house prices and homelessness spiral upward.
“Fianna Fáil and Fine Gael are wed to the tried and failed method of “the market knows best”. We need to see new financing models made available for the delivery of housing, which is what Labour pushed for during the General Election. We need a step change away from private, vested interests.
“It’s time for a new approach. The report is clear, the amount of savings in the economy is higher than ever and we know that Irish savers are getting a poor return on their savings. We need to leverage and activate those savings.
“I urge the Minister once again adopt Labour’s approach to addressing this and work to unlock private savings through the development of a Housing Solidarity Bond. Operated via State Saving bond with an attractive interest rate, this would redirect private investment from vulture funds towards housing developments. This is the type of thinking that is needed – not more of the same.
“Crucially, the Central Bank report highlights the need to ensure a supply of affordable housing both for purchase and for rent. Renters have been pushed to the bottom of the pile by Fianna Fáil in housing for the past 5 years, allowing blatant breaching of rules like rent pressure zones, and failing to give renters any power in the market.
“Labour has long called for a rent register to set reference rents so that prospective tenants can have some degree of information to hold landlords who may wish to flout the rules to account.
“Rather than squirming to protect private interests, the Minister needs to take a look at the cold hard facts of housing. We’ve had a series of forecasts and reports and no change.
“It’s time to wake up and address the shortcomings of successive failed Fianna Fáil housing policy.”