asked the Minister for the Environment if a person who inherited a private dwelling house is entitled to £1,000 new house grant.

A person who inherits a private dwelling-house is not ineligible by reason of that fact for the £1,000 new house grant.

There seems to be some ambiguity in the circular issued by the Department. Would the Minister consider inserting a clause clarifying the conditions of payment?

It is stated that the grants are payable to persons purchasing or building a new dwelling for their own occupation who had not previously purchased or built a dwelling for themselves, either individually or jointly with their spouse.

6.

asked the Minister for the Environment if the tenant purchaser of a local authority house is entitled to the £1,000 new house grant.

Under the terms of the 1978 tenant purchase scheme, which I announced on 23 December 1977, a tenant purchaser of a local authority house will in every case receive a discount of £1,300 from the gross price of the house. This discount includes £1,000 in lieu of the £1,000 new house grant which is payable to first-time owner-occupiers.

7.

asked the Minister for the Environment if he will consider having the new house grant paid in two instalments (1) at roof level stage and (2) when completed.

The £1,000 new house grant can be paid only when a house has been satisfactorily completed and is occupied for the first time as his normal place of residence by a person (or his spouse) who has never previously purchased or built a house. In the circumstances, it would not be practicable to pay the grant in two instalments as suggested.

(Cavan-Monaghan): Is this not a complete departure from a long-standing practice over many years of paying housing grants in two instalments, one instalment of 50 per cent when the roof was on the house and the remaining 50 per cent when the house was certified as complete? Why cannot this be continued?

The £1,000 grant was introduced for the benefit of the house purchaser or the young couple who would build a house. It is payable on completion and occupancy of the house. It is a new departure in the sense that it is payable in one sum to the house purchaser or the person who is building a house in order that they would get full benefit of the £1,000.

(Cavan-Monaghan): I will not comment on that beyond saying that I am not satisfied that they are getting the benefit of it. Is it not a fact that under the supplementary grant schemes in recent years, half of the grant was paid before the person went into occupation of the house?

Under the old system if part of the Local Government grant was paid, automatically if the person qualified for a supplementary grant he received a similar payment.

(Cavan-Monaghan): Am I correct in saying that the supplementary grant under the old scheme was only paid if the person was in need of housing and was going to take up residence in the house, and this £1,000 grant is payable in similar conditions? If that is so there is no reason why it cannot be paid in two instalments. It would be a great help to the people who qualify for it to get half the grant when the roof is on and the other half when the house is finished.

In a big percentage of cases where this £1,000 is payable, the people purchase houses from contractors. There are not many who build their houses by direct labour. On the purchase of any house final payment is not due until the house is completed.

(Cavan-Monaghan): Is it not true that very few people qualify for this £1,000 grant and that that is the reason?

It is not true.

We are having an argument now.

Will the Minister accept that the original indication and promise to house purchasers was that this £1,000 would be available as a deposit? Is the situation now, that the payment of it is being put back in comparison with the payment under the earlier schemes?

No. This is the manner in which the scheme was introduced last July and there is no departure whatsoever from that.

I am talking about the announcement prior to the election.

On completion, our undertaking was that we would make the grant available and we did so.

Does the Minister accept that it was publicised originally as being payable as a deposit?

Where was it publicised?

By Members of the front bench.

Where was it publicised?

Order, please.

In view of the inflationary effect that has been seen in the cost of housing, would the Minister consider now that it would help the cash flow of builders if the grant was paid in two parts. I know it would be a reversal of the earlier policy but in view of the cost increases, would the Minister reconsider the situation?

No, not at the moment.