New approach to housing urged

A radical approach to tackling the housing crisis was suggested by Mr Liam Fitzgerald (FF)

A radical approach to tackling the housing crisis was suggested by Mr Liam Fitzgerald (FF). Consideration should be given to the establishment of a commission for the acquisition of development land, agricultural land, pre-development land or pre-serviced land, with a view to ensuring that this vital infrastructure was maximised and utilised to the greatest benefit.

This would not be a huge leap in the dark, Mr Fitzgerald contended. A commission had been set up to promote competition in the electricity sector and to protect the interests of consumers. Similar steps had been taken in regard to telecommunications services and the gas network.

Sacred cows also had to be confronted in the housing market.

Mr Fitzgerald stressed that he was not trying to have a swipe at the Minister for Finance or criticising the initiatives Mr McCreevy was taking following study of the Bacon reports. These measures were making an impact, but he believed that the core issue had been lost in these reports. The market was driving up demand and it was clearly necessary to bring about a reversal in the market to control prices.

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"If such a commission for land servicing or for the purchase of already-serviced land was in place, the competition I referred to would automatically follow and the builders and auctioneers who are out there on the market gazzumping young couples day in, day out, would face a house market environment where roles would be reversed, because the competition would no longer be among the exploited buyers, it would now be turned on the very builders themselves."

Mr Fitzgerald said that when the Financial Services Centre was being considered it was realised that a lot of red tape would have to be removed before it could be properly established.

The Taoiseach at the time convened a small group of individuals to discuss the difficulties as they arose and who would have had access to the highest level of government and the Civil Service to introduce legislation at short notice and to ensure that difficulties were removed as efficiently as possible.

"To learn from this example," Mr Fitzgerald said, "we could now establish a commission or grouping of similarly powerful individuals with access to government at the highest level to ensure that serviced land was identified and developed as quickly as possible."