Cori calls for penalties for buying second homes

The Government should introduce financial penalties for buying second homes to reduce the housing lists, Cori, the Conference of Religious of Ireland (Cori) has said.

Almost 50,000 families and individuals are on the housing list and this is likely to increase with the growth in population, according to the latest report from Cori's justice commission to be published today.

An increase in the number of social housing units from 127,000 to 200,000 by 2012 was recommended in a major housing study from the National Economic and Social Council.

To reach this target, the Government must produce a national housing policy, Fr Seán Healy of Cori said.

A curb on the numbers buying second houses could form part of that policy he said.

"A quarter of all new houses built are second homes, essentially holiday homes, and a substantial amount of taxpayers money goes on providing infrastructure for these houses for people who already have a home of their own."

Cori advocates that people purchasing second houses should have to pay the full infrastructural costs for roads, water, sewage and electricity, currently borne by the Exchequer.

"There seems something perverse in the fact that the taxpayer is providing substantial subsidies to the owners of these unoccupied houses while so many people don't have adequate accommodation."

The demand for holiday homes in certain areas of the country, which were left empty for a large portion of the year, was also militating against balanced regional development, he said.

Allowing developers to pay local authorities in lieu of providing 20 per cent of building land for social housing also needed to be reviewed, Fr Healy said.

While receiving money instead of land worked for some local authority areas, it was not always suitable.

"The danger is that it can slow down the building of social housing and it would be worrying if it became an emerging trend to give money instead of land."

An additional investment of €500 million to €600 million would be needed to reach the 2012 housing target.

Fr Healy said that was essential, "otherwise Ireland's rapidly expanding population will face even greater problems in accessing appropriate housing and accommodation in the years immediately ahead".