asked the Minister for the Environment whether he is aware of the enoromous additional cost bridging finance is to house purchasers particularly first time hosue purchasers; whether he considers that such bridging finance might be eliminated with the co-operation of the building societies and other lending instructions; and if he will make a statement on the matter.

23.

asked the Minister for the Environment if, in view of the high cost of bridging loans, he will discuss with local authorities ways to streamline the processing of local authority loans.

I propose to take Questions Nos. 22 and 23 together.

I am aware that bridging finance can be a significant additional cost to house purchasers, particularly when there is protracted delay in advancing a mortgage. Undue delays are generally associated with title difficulties and while there may be some scope for improvement on the part of lending institutions, the total elimination of brdging finance does not seem possible.

My Department are puruing with the different lending agencies and the other bodies concerned the extent to which it may be possible to implement recommendations designed to minimise the need for bridging finance made in a report pbulished by An Foras Forbartha on Problems of Delays and Expenses Associated with Private House Purchase Transactions.

Would the Minister agree that much of the problem in relation to bridging finance arises because the funds for the SDA loans scheme are not released quickly enough to the local authorities?

No, I would not agree. The reason for most of the delays is that the title to the property is defective in some way and money cannot be given out until the title has been cleared to the satisfaction of the solicitors for the different parties. This is the main reason for the delay in mortgages being cleared.

Would the Minister agree that many of the problems in getting the title right are caused by the legal profession? The Land Registry is another problem. Would he take up the matter with his Government colleague and see how the procedure could be streamlined?

It is my duty to blame any profession for problems but I would agree that there can be problems in that area and also some delays in the Land Registry. We are studying the problems there and this will be considered.