‘Mixture of carrot and stick’ can be used to get developers to build homes, says Varadkar

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‘Mixture of carrot and stick’ can be used to get developers to build homes, says Varadkar
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Taoiseach pledges to go “all out” to address the housing crisis, comparing the response needed to the kind of action seen during the Covid-19 pandemic

Mr Varadkar began his second term as Taoiseach pledging to go “all out” to address the housing crisis, comparing the response needed to the kind of action seen during the Covid-19 pandemic.

He referenced grants, Government investment and tax measures as well as legislative actions like reform of the law to speed up the planning permission process. There are about 70,000 planning permissions for new homes – mostly apartments – that are not being built “and I want to see them under construction”, he added.

Other mechanisms were needed too, Mr Varadkar said, citing the planned Residential Zoned Land Tax . Due to come into effect in 2024, the tax will see landowners faced with a tax of 3 per cent of the market value of land that is zoned for residential use but is not being developed. He also said: “We have to look at it in the round, you know, there are people here for example, 5,000 people still living in direct provision, who have status. It’d be good if we could find a way to accommodate them to free up those places.

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