Irish Housing Budget Rises 16%, Up To A New Record Of 1.7 Billion Euro

The announcement of a housing programme supported by over €1.7 billion is an increase of 16% on the previous estimate. With the addition of non-Exchequer funding, mainly Housing Finance Agency loan finance, the provision for 2008 will be some €2.5 billion. 

The Minister that this increased funding will "allow for the commencement of a significant number of new social housing units as well as bringing to completion a large number of units under both the local authority and voluntary housing programmes."

Specifically, resources will be provided for over 6,600 local authority homes to be started or acquired; some 2,000 starts by the voluntary and co-operative housing sector; and continuing implementation of the Rental Accommodation Scheme. In total, it is expected that the funding will allow the building of about 9,000 homes in 2008."

The Minister continued, "In the drive to increase social housing output, it is important not to lose sight of quality issues. Our aim should be to deliver social housing of a standard, which is on a par with housing generally. To this end, new projects will be 'sustainable community proofed' as part of the project appraisal stage and greater innovation will be encouraged. In partnership with local authorities, we are tackling an important programme of regeneration works to improve the quality of existing social housing stock. And I particularly wish to support the programme in Limerick for which an additional €10 million in resources has been made available in 2008 to support the initial phases of this process."

Referring to affordable housing, Minister O'Keeffe said, "An additional €50 million has also been earmarked to boost activity on affordable housing. Building on the successful market acquisition of housing initiated by the Affordable Homes Partnership late last year, a further programme of purchases will be undertaken next year. In addition, we propose to examine the scope for introducing a new shared equity scheme to replace the current shared ownership option with the aim of offering new opportunities to eligible people to achieve their home ownership ambitions."