Referendum may cap housing land price

THE Government is considering holding a referendum to cap the price of housing land, Taoiseach Bertie Ahern said yesterday.

Mr Ahern said he was committed to putting a limit on land prices and that he asked the All-Party Committee on the Constitution to examine the idea to see if they could reach agreement.

Rejecting Opposition claims that Fianna Fáil was beholden to speculators who hold ordinary people to ransom for homes, Mr Ahern said:

“I am not convinced that there is not a way to deal with it, but we must first get the Attorney General to check out if it is legally possible.”

Labour leader Pat Rabbitte said seven reports have already been undertaken on the price of land and a decision was now needed on it.

“Before Christmas, a minister was able to push legislation through the Dáil which gave 16,000 sites to builders who were in tow with this Government,” Mr Rabbitte told the Dáil.

“Six developers now control all the land in North County Dublin because they have bought up the options on it.

“Why can we not have a referendum to stop the escalation of house prices now?” Deputy Rabbitte asked.

The Taoiseach said that he was totally opposed to anyone putting large amounts of money on options of land because it pushes up house prices.

Socialist Party leader Joe Higgins called on the Taoiseach to stop playing games and admit that nothing has been done in the past 30 years to sort out the housing crisis.

Mr Ahern rejected claims Fianna Fáil was beholden to speculators and said very few of his party members were landowners.

Mr Ahern’s comments come as a report warns unless there is action, there will not be enough houses to accommodate people reaching child-rearing stage.

The study by the country’s leading auctioneers Sherry FitzGerald warned there was a shortage of second hand homes.

It called for imaginative moves to free up the property market, including the introduction of relocation grants for people who have reared their families.