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Dáil
‹ Ceisteanna ó Cheannairí - Leaders' Questions

Housing budget and renter relief

Summary

Mary Lou McDonald condemned the budget as favouring landlords and pressed for stronger action on rents, tenant security and homelessness. The Taoiseach argued the package would fund social housing, homelessness reduction and affordability measures, and later confirmed there was no agreement on the Finance Bill amendment she sought.

I wish to note the loss of Ms Emma Mhic Mhathúna, who will be laid to rest today. I am sure all Members send solidarity to her family and to all those caught up in the CervicalCheck debacle.

Yesterday, we were told for the third year on the trot that the budget was a housing budget. It would more properly be described as a budget for landlords. In spite of the scale of the current crisis for renters, with rents going up and up with no end in sight, the Government chose to leave them out in the cold. The budget contains no measures on rent control, tax relief for renters or security of tenure.

In our alternative budget, Sinn Féin proposed that a three-year rent freeze for all existing and new tenancies be introduced with immediate effect and demonstrated how that could be achieved. However, the Government and its partners in Fianna Fáil chose to ignore that proposal. It is probably true that I should not have expected much more from the Government, given its record on housing, but last week Fianna Fáil Members voted in favour of a cross-party motion calling for the introduction of security of tenure and rent certainty. They were happy to vote for the motion but yesterday they lauded the budget and proudly proclaimed that their stamp was on it. I know a week is a long time in politics but an about-turn of that order requires some brass neck and an absolute cheek.

Sinn Féin proposed the introduction of an emergency temporary tax relief, which would give back the equivalent of one month’s rent annually to each renter and put money back into the pockets of hard-pressed renters but the Government and its partner in government, Fianna Fáil, chose not to do that. The budget contains no measures to ensure rent certainty and no tax relief for renters. It contains tax breaks for landlords but not for struggling tenants, which sums up the Government's approach. Renters have again been failed by Fianna Fáil and Fine Gael but landlords get a dig out. The wrong choices and priorities again, while rents go up and up.

On today's “Morning Ireland” radio programme, Deputy Micheál Martin, the leader of Fianna Fáil, told the nation that there is more to come. He stated that the Taoiseach has agreed that the finance Bill will contain more tax relief for landlords. It will have nothing for renters but lots for landlords. I ask the Taoiseach to specify what additional reliefs for landlords he has agreed with Fianna Fáil.

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Leo Varadkar The Taoiseach Fine Gael

I join in offering condolences to the family and friends of Ms Emma Mhic Mhathúna, particularly her five children Natasha, James, Mario, Oisin and Donnacha who, obviously, are foremost in our minds today. Like all Members, I am filled with sorrow that she has passed on at such a young age. I did not know her but, like many people, feel as though I did. She fought like a lioness to protect and provide for her children. She was witty and had a wonderful way with words. Those words forced us to act. In recent months, she was very understanding of the efforts we were making to put things right. I hope that something good will come of this tragedy. I hope that we can, to the greatest extent possible, eliminate cervical cancer in Ireland by extending the HPV vaccine to boys and improving our screening system while also building a health service which is more open, honest and respectful of patients. That is the type of legacy we should try to achieve in respect of her death. Our condolences go to all of her family.

As always, the budget is about many things, one of which is housing. Overall, it is prudent and responsible and balances the books for the first time in ten years, something Sinn Féin is opposed to doing. The Government has ensured that the budget is Brexit proof and has provided a rainy day fund which Sinn Féin also opposes. It will put money back in the pockets of the entire population through mechanisms such as reductions in tax and USC, increases in welfare, pay and pensions and measures to reduce the cost of living. There was a major increase in investment in health, housing and education, with it being the biggest budget ever for each of those Departments.

In making budget decisions, we decided it appropriate to put money back in everyone’s pocket, which is why we reduced USC and income tax for well over 1 million people. Sinn Féin proposed income tax relief only for those who are renting. I understand why the party wants to do that. People are struggling to pay rent but people are also struggling to pay mortgages or other bills or to put together a deposit to buy a house and the Sinn Féin plan provided nothing for any such people; it only wanted to give income tax relief to renters. The Government decided to do things more broadly and I very much stand over that decision.

The budget provides the biggest provision ever for housing, allocating €2.3 billion, a 26% increase on last year.

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That is not true.

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Leo Varadkar The Taoiseach Fine Gael

It delivers enough money to take 5,000 adults and their children out of homelessness next year.

It provides for the addition of 10,000 houses to the social housing stock. It provides for an affordability scheme comprising 6,000 homes over three years, provided under shared equity. It provides for an expansion of the family hub programme in order that fewer families must spend time in hotels and bed and breakfast accommodation. For renters, it increases resources for the Residential Tenancies Board, RTB, which is important in ensuring that the rent caps are enforced and that rogue landlords, where they exist, are pursued. The tenants' Bill, which of course is not a budgetary measure but is coming, will provide for a rent register providing transparency on rents in order that people will know what other people living in the same area as them are paying and can, therefore, ensure they are not overcharged. That is what is in the budget for renters.

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It is neither prudent nor responsible to leave people struggling with runaway rents and to simply say to them, "Well, the good news, folks, is that this budget provides extra resources for the RTB." That is not what people need. It is not what people wanted to hear from the Government. There is a legitimate expectation on the part of those in the rental market and those trying to access it that they will have a stable roof over their heads at an affordable rent. We are in a housing emergency. The Taoiseach himself has conceded that point. He has conceded the fact that a huge amount of the new homelessness is coming from the private rented sector. He concedes, surely, that rents are at the highest level ever in the history of the State. On budget day, however, he sat on his hands. That is neither prudent nor responsible; it is negligent. In the selfsame budget the Government allows for mortgage interest relief for landlords. Deputy Micheál Martin, the Taoiseach's partner in government, said this morning on RTÉ radio that there is more to come, that there is another measure favourable to landlords-----

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-----and that we will see it in the finance Bill. I simply want to know what has been agreed. What is this additional measure?

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The Deputy's time is up. I call the Taoiseach.

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Leo Varadkar The Taoiseach Fine Gael

The Sinn Féin plan was to provide income tax relief for people who are renting and only people who are renting. We decided-----

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Tell us about the cosy deal with Micheál.

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Leo Varadkar The Taoiseach Fine Gael

-----on a different approach. We decided to provide income tax relief and USC reductions for everyone who is working in our society, well over 1 million people-----

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Answer the question.

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Leo Varadkar The Taoiseach Fine Gael

-----because many people are struggling to pay the rent. There are, however, also people struggling to pay the mortgage, struggling to pay for childcare and struggling to raise a deposit to buy a home. Sinn Féin-----

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That is right, and the Government has put them in that position. Answer my question.

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Leo Varadkar The Taoiseach Fine Gael

-----was being divisive as always and only wanted to provide relief for renters and did not want to provide relief for people who are paying down mortgages, paying childcare or raising money for a deposit.

I want to raise something important. Sinn Féin likes to talk a lot about housing, but let us look at its record.

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Will the Taoiseach answer the question, please?

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Leo Varadkar The Taoiseach Fine Gael

Only this week-----

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A Cheann Comhairle, I asked a question-----

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Please do not heckle the Taoiseach. Allow him to answer.

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Leo Varadkar The Taoiseach Fine Gael

Only this week, on South Dublin County Council, a vote was taken to build 1,100 new homes in Kilcarbery-----

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Leo Varadkar The Taoiseach Fine Gael

-----comprising 400 social homes for people on the housing list in Tallaght, Clondalkin and Lucan and 700 homes for young people who want to buy and who are currently paying more in rent than they would pay on a mortgage. Sinn Féin voted against this. It required Fianna Fáil, Fine Gael and the Labour Party to vote it through.

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I rest my case.

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The Taoiseach should listen to what Fr. Peter McVerry says.

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End of story. Over and out.

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Leo Varadkar The Taoiseach Fine Gael

Therefore, if Sinn Féin genuinely-----

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May we have order, please?

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Leo Varadkar The Taoiseach Fine Gael

Sinn Féin voted against 1,100 houses - 400 social and 700 houses for purchase. It should be borne in mind that people are paying more-----

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Thirty per cent social, lads.

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The Taoiseach should listen to what Fr. Peter McVerry says.

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Leo Varadkar The Taoiseach Fine Gael

-----in rent now than they would pay on a mortgage.

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I thank the Taoiseach. His time is up.

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Leo Varadkar The Taoiseach Fine Gael

These houses are affordable. I urge Sinn Féin-----

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May we have order, please?

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May I have an answer to my question?

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The game is up for Sinn Féin. It is over.

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Is that too much to hope for?

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Leo Varadkar The Taoiseach Fine Gael

-----to stop voting down housing for ideological reasons and holding up housing for political reasons. To answer Deputy McDonald's question, there is no agreement on amendments to the finance Bill in respect of that issue.

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Deputy Martin was wrong then.

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