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Dáil
‹ Ceisteanna ar Reachtaíocht a Gealladh - Questions on Promised Legislation

Family home tax and rental costs

Summary

Deputy McDonald attacked rising rents, insurance, energy bills and a proposed tax increase on family homes. The Taoiseach defended the policy by comparing it with property taxation in Northern Ireland and accused Sinn Féin of hypocrisy; the exchange was cut off by the Chair.

I have repeatedly drawn the Taoiseach's attention to the rents people are paying. I put it to him today that as we emerge from the pandemic, our people face a cost-of-living crisis. Rents are soaring, people are being ripped off by greedy insurance companies and they now face multiple hikes in energy bills. To add to all of this, the Taoiseach now proposes to increase the tax on people's family homes.

His Government, the same Government that allows wealthy investment and property funds to accumulate billions in profit without paying one cent in tax on their massive income from rent, and without paying capital gains tax or corporate tax, is going to squeeze ordinary homeowners on the one asset they have worked their whole life to have - their family home.

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The time is up, Deputy. Thank you.

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Will the Taoiseach explain to us-----

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The time is up.

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-----why the hard decisions he and his Government take are always at the expense of families and workers? Will he please explain the rationale, as we look to get back on our feet, behind-----

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Please, Deputy. You are taking other Deputies' time.

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-----increasing the tax on people's family homes? Could we have the justification for this action, this decision, from the Taoiseach, please?

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The Deputy is being politically dishonest. How do I know this? The evidence is very clear as to what her party does when it has financial responsibility. Just one hour's drive from this building, in Northern Ireland, Sinn Féin runs the Department of Finance. It is the largest party in five out of 11 local authorities. It has no problem whatsoever with an annual tax on the family house calculated on the basis of its value. In fact, in eight of the 11 council areas that tax bill will increase for 2021 and 2022. Just look at one council area, Mid Ulster. If you own a house valued at £150,000 in Mid Ulster, you have to pay £1,192 per year in property tax. For 2021-22 the local council decided to freeze the rate. The Sinn Féin councillor who was tasked with responding to this said that not raising the rate would be like asking council officers to do their job with one hand tied behind their backs. In the Armagh, Banbridge and Craigavon council area, where the Deputy's party holds the position of lord mayor, the owner of a £150,000 house faces an annual bill of £1,360.

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What does the homeowner get for that?

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You get services here as well. We want to give councils the opportunity to provide services locally. Sinn Féin will vote against this but wants the services at the same time. That is hypocrisy. That is dishonesty. This is what Sinn Féin does as a party. This is what it votes for locally. I actually agree with the Sinn Féin councillors in the North. I do not fault them. They are correct.

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Taoiseach, thank you. The time is up.

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It is utter hypocrisy and political dishonesty on Deputy McDonald's part to come in here and make the assertions she continually makes.

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Now, could we hear Deputy Alan Kelly, please?

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