No sign of slow down in housing costs

Labour Party Finance Spokesperson Deputy Joan Burton has today accused the government of “glossing over its failure to provide sufficient affordable homes for Irish families at a time when the average house price has topped a quarter of a million Euro.”

Deputy Burton was speaking following today’s publication of the Quarterly Housing Bulletin, which revealed that the price of new houses had risen by over 12% in the last year.

Deputy Burton commented, “Despite repeated assertions that there would be a slow-down in the housing prices, these figures demonstrate a significant rise on this time last year.

“In effect, the rate of increase in house prices is three times that of inflation. The average cost of a house in Ireland is now a quarter of a million Euro. Yet this government has seen fit to abolish the first-time buyer’s grant and cutback on affordable housing schemes.

“Despite Housing Minister Noel Ahern’s claims today, the government has failed to control the price of building land. The matter cannot simply be left to the all-party Committee on the price of building land, and urgent action should be taken immediately.

“Young couples and families can no-longer afford their own homes. They are forced into borrowing outrageous amounts from banks and lending institutions which serves only to drive-up prices further.”