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Mullen Park estate in Maynooth, Co. Kildare. The 170-home estate has controversially had 135 homes bought by Round Hill Capital, a global property investment firm who will be putting the houses on the rental market, making them unavailable to first-time buyers in Ireland. RollingNews.ie

Larry Donnelly The message to Irish politicians this week was 'It's housing, stupid'

Our columnist takes a look at a return to Irish politics as we knew it this week, with housing again front and centre.

IN FEBRUARY OF 2020 – if you can remember those halcyon days – there was a general election in this country that produced some seismic results and engendered serious probing as to whether it signified a permanent change to the contours of politics as we had known it here.

Mere weeks later, however, speculation about an altered landscape was overwhelmed by the arrival of Covid-19 and the Government’s ongoing attempt to respond to this unprecedented public health crisis and the economic fallout from it.

A long pause

Irish politics has been in what I would describe as a state of “suspended animation” for 15 months. The usual fault lines and areas of dissonance were side-lined appropriately in the name of trying to keep the citizenry safe and secure. Now that more and more people are being vaccinated and the things that we formerly took for granted in our daily lives are returning, there are indications that some semblance of normal politics is making a comeback.

That said, the pandemic appears destined to have a major impact in this sphere both in the immediate and the longer term. As an initial aside, one wonders what the repercussions of the colossal expenditure by the state on payments to individuals and businesses in order to keep them afloat will be.

There have been billions in additional spending. The size of the final cost is uncertain, but it is safe to assume that it is enormous. Eventually, there will have to be a financial reckoning of sorts. And there will be political consequences arising therefrom.

At the moment, the resignation of former Minister for Housing Eoghan Murphy means that a by-election in the Dublin Bay South constituency will take place in the coming months. Starved of oxygen for so long, political journalists and junkies collectively rejoiced at the news.

There is no lack of intrigue: the rifts over candidate selection within Fine Gael and the Green Party; questions over sitting TD Jim O’Callaghan’s capacity to deliver a respectable vote for the Fianna Fáil party he aspires to lead; whether Sinn Féin will choose a councillor in the constituency or parachute in a higher profile politician like Senator Lynn Boylan; if this could be the time for the Labour stalwart, Senator Ivana Bacik, to take the Dáil seat she has so long desired; and myriad other known unknowns.

A new kind of constituency battle

Of course, the by-election is a unique political species. Moreover, it will be very interesting to get a sense of how many people vote based on how they feel the Government has tackled coronavirus and who they thus gravitate to.

Further, the dynamics of a campaign waged in a climate that is not conducive to knocking on doors or close contact will be fascinating to observe. Facebook and Twitter will be vital tools.

Cynics have unsurprisingly retorted that this local election in D4 and D6, the heartland of the capital’s media and intelligentsia, will receive disproportionate coverage and attention, even though it cannot be counted on as a reliable barometer of the broader mood. In this vein, it will be a straight uphill climb for Sinn Féin to win the by-election – the party’s Chris Andrews is already a Dublin Bay South TD – and it could well come down to a fight between Fine Gael and the Greens.

But I expect Sinn Féin, running neck and neck with Fine Gael at the top of the opinion surveys, to play to a national audience in a Dublin contest that will be next to impossible for anyone in the country to avoid as polling day approaches. As its leader, Mary Lou McDonald has said, “when it is held, this by-election will be all about housing.” The party would be wise to bang that drum incessantly.

Housing crisis raging on

Rage at the fact that private investment funds have bought up entire housing estates and apartment blocks was palpable and widespread this past week. It is not alone the young and those desperately trying to purchase a home for the first time who are furious. Nor are the aggrieved necessarily on the left of the ideological spectrum.

Older women and men – some of whom are affluent and have faithfully supported Fianna Fáil or Fine Gael – are fearful for their children and grandchildren, as well as for young people with whom they have no ties except that they instinctively sympathise with their plight.

The refrain I have heard repeated on numerous occasions goes roughly like this: “We may have had little when we got married, but we could buy our own home. Now I have children educated beyond what we could have dreamed of and in good jobs. But they can’t afford anything and are paying massive rents. It’s terrible.”

So angry are they at this stage that I think many would concur with the headline above Dr Rory Hearne’s piece on this site on Wednesday: “The Government does not want you to be able to afford a home.”

A key question, politically speaking, is as follows. Will some of these voters put aside their natural, often deep enmity for Sinn Féin – whose representatives have been extremely vocal and critical of the Government on housing policy – and give the IRA’s erstwhile political wing a high preference the next time they have a ballot in their hands?

There is evidently a view within Government that there was, and still may be, a role for private investment funds in expanding the supply of housing – apartments especially. That may be objectively true, yet current political imperatives render it effectively moot. The Government needs to move aggressively on this front and has signalled that it will do so imminently, once it has determined what can be legislated for constitutionally.

In short, the prevalent zeitgeist is that the State must intervene on a grand scale to address an increasingly intractable problem. Regardless of how they feel about Sinn Féin, my suspicion is that many listen to party spokesman Eoin Ó Broin advocate for this course of action and agree.

As Irish politics emerges from “suspended animation,” it is crystal clear what the number one issue is. For the foreseeable future, special advisers might find themselves paraphrasing James Carville’s 1992 mantra to his boss, Bill Clinton, and other Democrats: “It’s housing, stupid.”

Larry Donnelly is a Boston attorney, a Law Lecturer at NUI Galway and a political columnist with TheJournal.ie.

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    Mute Diarmuid O'Braonáin
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    May 9th 2021, 9:57 AM

    You do know young are facing the same problem all over the country. It’s not just Dublin. The housing market is broken all over the country and people are angry. If you are heading for 40 and don’t own your own home you are in trouble because a mortgage of €450k(govt says its affordable) needs to be paid back over 25 years meaning payments are huge on it.

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    Mute Stephen
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    May 9th 2021, 10:16 AM

    @Diarmuid O’Braonáin: your right. The rising price of materials is not helping at all. The price of land also.
    The lifting of silly restrictions around town lands would help. Their forcing everyone into towns or just do nothing and get a free A rated home

    Or just wait for a free home.

    44
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    Mute Thomas Smyth
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    May 9th 2021, 11:09 AM

    @Stephen: Exactly. They want everyone living in identical semi Ds or boxy cramped apartments. Now they won’t let you even own it. The councils are in cahoots with developers, only making large sites zoned for residential bit-by-bit that only large development companies can afford. Meanwhile I’ve seen small sites within LAPs, surrounded by houses, refused planning because the land was zoned agricultural. Small sites zoned residential are very very rare and are usually not very good. And you can forget about outside towns; you have to have a “genuine need”, be from the area (5km of the site) or living there 7 years and working there too despite the fact that the “locals only” rule is illegal under EU law. The council controls zoning. They can buy large tracks of agricultural land for cheap next to towns (or use government owned land), split them into smaller plots, service them and sell them on with planning guaranteed for reasonable development at cost.

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    Mute GinandJetfuel
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    May 10th 2021, 10:42 AM

    @Stephen: Ireland is the least densely populated nation in the EU yet we have the highest land prices. There should be a tax on land hoarders.
    All those empty buildings in Dublin and other town centres should be taxed (not just property tax but a ‘derelict’ tax) Thus the market would be larger with more land/buildings changing hands.
    More supply will mean lower prices.

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    Mute Mike Ruddy
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    May 9th 2021, 10:22 AM

    Then you think of the Billions spent on the hospital by Leo. I wonder how many houses could have been built for two Billion?

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    Mute Pete Lee
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    May 9th 2021, 8:58 AM

    While I’m on a roll…..
    3. Move all government offices and functions out of Dublin city centre and remove ALL parking spaces from government / public service employees – Thus driving a move towards reducing pressure on Dublin housing and infrastructure.

    112
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    Mute Zmeevo Libe
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    May 9th 2021, 1:49 PM

    @Pete Lee: Ok, you lost me here. So no schools or hospitals to allow their empolyees to park there as long as they are in Dublin city centre. I assume Rotunda midwifes are all supposed to cycle to work?

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    Mute Tony Harris
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    May 9th 2021, 10:08 AM

    Thousands of council residential property’s empty, awaiting refurbishment!!! Outsourcing that work if the councils can’t or won’t do it would be a massive dent. There just does not appear to be an appetite for it. Question is why?

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    Mute Rory J Leonard
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    May 9th 2021, 10:42 AM

    @Tony Harris:

    Very good Question!

    Yet the excellent Peter McVerry Trust has a useful scheme whereby unloved dilapidated single houses owned privately around the country are brought back into use by clever funding arrangements with the owner and working closely with Local Councils with housing requirements.

    Tradesmen hired to carry out the work are paid market rates for their services.

    So, whose feelings do the Councils not want to hurt by tackling something very urgent, given the overhang of dilapidated council-owned units and nationwide shortage of homes?

    It’s another Question that could be put to our housing minister if anyone is interviewing him tomorrow.

    57
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    Mute mmz
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    May 9th 2021, 11:40 AM

    Nearly 90% of council funding comes from central government – all of it with strings attached. Dilapidated properties often don’t get repaired because the DOE wont fund them. Fire damaged council houses often wait years for the relevant private insurance company to fund re building or repair. Changing this has not been a DOE priority. One of the many ways government operates to slow the supply of decent housing to the populace in favour of creating demand for the private rental and purchase sectors at prices people cannot afford to drive supply. I hate SF but accept that they will win the next election as they are committed to ending the new absentee landlord support policies of FFG and the continuing transfer of wealth from the creators (workers) to the takers ( vulture capitalists.)

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    Mute Darren Priest
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    May 9th 2021, 10:35 AM

    Ideology. That’s it. It’s a question of will.

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    Mute Brendan McCarron
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    May 9th 2021, 5:58 PM

    @Darren Priest: 100%. Materials, zoning, labour market – all smoke and mirrors. You look at the global response to covid and see how many World governments made radical decisions to confront that crisis. Housing is in crisis here, if powers that be wanted to put the shoulder to the wheel they would.

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    Mute trebloc01
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    May 9th 2021, 12:13 PM

    Padraig Pearce gave his life that Irish men & women would be able to run their country, our current politicians are a joke, financial interests are running this country.

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    Mute Rob Gale
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    May 9th 2021, 2:15 PM

    @trebloc01: they don’t see us as the citizens of our own country. They see us as “customers” to be drained. Regina Doherty even referred to welfare recipients as customers when talking about the public service card. They don’t hide it. Recently at an FG meeting the only problem they saw with housing crisis is that they’ll lose votes. Wasn’t even a leaked quote, it’s just what they think.

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    Mute Angela McCarthy
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    May 9th 2021, 10:51 AM

    The writer is probably right though. In the end, this will probably be a two-horse FG-SF race where the voters will be speaking for the country!

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    Mute trebloc01
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    May 9th 2021, 12:14 PM

    As for FF, that man is driving it into the ground

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    Mute Pete Lee
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    May 9th 2021, 8:55 AM

    1. DA GOV – allows the funds because they build or promote house building
    2. Why are FDI / etc. not encouraged out of Dublin – thus Demand reductiion

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    Mute Michael Curran
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    May 9th 2021, 2:46 PM

    It’s cheaper to buy than to rent . A situation that is daft .buying a house is a guarantee of some financial independence in your old age . The old party system has only worked for the benefit of overseas funds , who also get special tax allowances.
    I don’t blame the funds from exploiting the situation, but I do blame the voters for persisting with weak governments.
    It’s time for a leap in the dark

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    Mute John O Connor
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    May 9th 2021, 1:25 PM

    Population increasing at faster pace than infrastructure. Check stats for pop in 1998. You have your answer. And the prices per kilometer for Houston to Connolly underground is Irelands reality. Deal with it.

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    Mute GinandJetfuel
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    May 10th 2021, 10:44 AM

    @John O Connor: The lack of investment in infrastructure is a choice by successive Govts. It’s not a way of life to just be accepted

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    Mute Neuville-Kepler62F
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    May 9th 2021, 9:49 PM

    Sign Rory Hearn’s petition here:-
    https://my.uplift.ie/petitions/stop-investors-buying-our-homes

    Referendum on Housing petition here:-
    https://www.change.org/p/irish-referendum-on-family-home-special-status

    38 amendments to the Constitution to date but the Housing Referendum is still undone since the 1974 Kenny Report. Housing must be taken out of the control of others and placed firmly in the control of the citizens. It is fundamental for a decent Irish society .. nothing less will solve the problem of Political failure to deliver affordable homes.

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    Mute Mickomacko
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    May 9th 2021, 7:21 PM

    Simple solution, don’t rent them! Simples

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    Mute Niall Dunne
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    May 9th 2021, 8:03 PM

    @Mickomacko: so where do you live?

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