Housing list ‘to rise above 60,000’

THE number of people on the housing waiting lists will rise above 60,000 next year because spending on housing will be below the construction inflation level, social housing groups warned yesterday.

Estimates published yesterday revealed that 1.13 billion will be spent on social and local authority housing next year up just 3% on this year.

The Irish Council for Social Housing (ICSH) said this will not be enough to even keep pace with the annual target of 8,000 houses set out by the Government in the National Development Plan.

"This is a major disappointment for those on the local authority and social housing waiting lists and especially the most vulnerable 6,000 homeless people who were hoping to get a house," ICSH management services officer Karen Murphy said.

Construction inflation is running at around 6% double the increase in next year's housing budget so the local authorities have no chance of tackling the escalating housing waiting list, Ms Murphy said.

"Last year, local authorities only managed to build 4,400 houses way below the target and they have no chance of meeting their target next year with this budget," Ms Murphy said.

Threshold, the national housing organisation, also said the Government would not be able to build its target of 8,000 extra houses next year.

"We are very disappointed with this minimum increase which will do nothing for the 20,000 people we have on our books looking for a home," Threshold director Patrick Burke said.

Labour said the minimum housing budget increase next year will do nothing for the 60,000 people on the local authority and social housing waiting list.

"The minister has not even increased the fund to meet the 6% construction inflation so we will be operating in a deficit next year," Labour's Environment spokesman Eamon Gilmore said.

Fine Gael also predicted the housing list would grow even longer next year because of the poor budget allocation.

"These estimates are the result of the Government's broken promises and yet another delay in the provision of proper housing," Fine Gael environment spokesman Bernard Allen said.

But Environment Minister Martin Cullen insisted that housing will be a priority next year and 5,000 local authority houses will be built.

Mr Cullen said social housing will be a priority and 33m had been allocated to this fund. "We are prioritising funding in housing to tackle disadvantage and to assist the most vulnerable in our society," Mr Cullen said.

The Irish Home Builders Association welcomed the increase in local authority housing budget and predicted it could deliver 10,000 extra social and affordable houses if there was an accelerated release of building land.