Council housing to get €2 billion in funding

Record funding of almost €2 billion for council housing was announced yesterday - along with a plea to local authorities to spend it as fast as they could.

Acknowledging that last year local councils failed to spend up to €50 million on social housing - enough for almost 350 new homes - Minister of State for Housing Noel Ahern said there was little excuse for housing authorities not building houses as fast as their allocations would allow.

Referring to an Irish Times league table of local authorities which failed to meet their social housing commitments, Mr Ahern said some authorities - such as Cavan County Council had exceeded their targets for social house building. Others who did so this year would find his door open, should they come looking for additional money he said.

However, there is to be no sanction against authorities which fail to provide projected levels of social housing. Mr Ahern said he did not feel sanctions were necessary as the "five year envelope" of €6 billion for housing had removed uncertainty surrounding funding.

"They had complained that they did not get their allocations until April or May. There wasn't enough time to get the money spent. But now I am saying there is certainty in the money being provided year on year so there is no reason not to build," he said.

Describing his approach as an "action plan" the Minister also revealed that in future individuals' tax numbers would be linked to housing applications to prevent duplication in the numbers.

He also said about one third of people on Department of Social and Family Affairs rent allowance had applied for a local authority house "because they had to, to get rent allowance".

In future once someone is on rent allowance for more than 18 months, instead of rent allowance they will get an offer of a council owned or managed house.

The allocation announced yesterday includes:

Taken together these three measures amount to €922 million - about €100 million more than the same categories last year. In addition there is to be: