1 week Ago
FINE GAEL WILL today launch their party’s housing policy which includes ring fencing cost-rental units for frontline workers and boosting the Rent Tax Credit to €1,500. The policy document sets out the party’s proposals to build over 300,000 homes between now and 2030 with a €40 billion investment, €10 billion of which will come from the Apple windfall. One of the proposals is the expansion of the Rent Tax Credit to €1,500 per renter or €3,000 per couple in a bid to alleviate rental costs for tenants.
The pledge comes days after Fianna Fáil’s Micheál Martin told The Journal that his party planned to “at a minimum” double the tax credit. Under Fianna Fáil’s plan, the Rent Tax Credit would be boosted to at least €2,000 after already increasing in October’s Budget to €1,000. Fine Gael also sets out that if in government after this election, the party will explore the idea of cost-rental housing for frontline workers to ensure key workers can live close to their places of work.
In recent months there have been reports of teachers and healthcare staff not being able to afford to live in many urban areas, which has resulted in staff shortages in these sectors. However, government parties avoided giving any commitments to ring fencing housing for such workers. Aside from these measures, Fine Gael also wants to expand the Help-to-Buy grant to €40,000, a 33% increase since the last adjustment in 2020.
Currently, first-time buyers can avail of up to €30,000 for a deposit, if eligible. The party also plans to expand the First Home Scheme, which bridges the affordability gap by providing up to 30% of the home’s cost, with the government or banks taking a stake in the property. Fine Gael says it will extend the scheme to cover first-time buyers of second-hand homes.
Currently the scheme can only be used in the purchase of newly built homes and self-builds. Fianna Fáil has also made similar promises regarding these two funding schemes. In addition, Fine Gael says it will extend the Landlord Tax Credit until 2030 for landlords who stay in the rental market.
Sinn Féin has criticised moves to expand the First Home Scheme and the Help-to-Buy Scheme, with the party stating in their housing policy that the will move to scrap the supports by phasing them out gradually. The party’s housing spokesperson Eoin Ó Broin claims the supports have only resulted in increased house prices, something both Simon Harris and Micheál Martin have dismissed. Ó Broin has also hit out at the idea of increasing the rent credit, stating that it serves no purpose if it is not accompanied by a rent freeze.
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