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LAST UPDATE | 7 Jul 2021
THE DÁIL HAS passed a controversial amendment that allows funds to side-step 10% stamp duty if they lease back houses to the State for social housing.
Last month, the government moved to introduce a new 10% rate of stamp duty on bulk purchases of 10 homes or more last month.
However, the amendment that came before the Dáil this evening will exempt institutional investors from the charge under these circumstances.
Sinn Féin’s Eoin Ó Broin TD was among TDs to criticise the length of the debate, which was given an hour in the Dáil schedule, accusing the government of “not playing by the rules”.
Sinn Féin withdrew a pairing arrangement whereby opposition TDs agree to abstain in a vote if a government TD is forced to be absent from the Dáil due to an unavoidable appointment.
However, the amendment was passed with 74 votes in favour to 59 against.
Speaking during the debate, Minister for Finance Paschal Donohue, who tabled the amendment, said that funds have a role to play in the “provision of rental accommodation which otherwise I believe in many cases would not be built”.
“If we acknowledge we need to build homes at scale, at speed, if we acknowledge that there is a burning urgency and need for the supply of new homes to be quickly accelerated, if we look at what the government is already do with the money that we’re making available… is there a role for the private sector in this?” Donohue said.
The new stamp duty change is aimed at tackling so-called cuckoo funds buying up housing developments from first-time buyers but opposition members have said the new amendment signifies “the white flag of surrender” to cuckoo funds.
Housing Minister Darragh O’Brien has denied these accusations and has accused the opposition of “scaremongering”.
He has argued that the amendment is time-limited and is being brought forward to protect the delivery of social housing for almost 2,500 families by the end of the year.
“In relation to the amendment that we have laid down later this evening, it is to ensure that around 2,400 leases that are currently going through the system, which will be used for social housing and social housing only, would be exempted from the 10% because there would be a risk that some of these would not go ahead,” O’Brien told RTÉ’s Drivetime programme earlier today.
Also speaking on Drivetime, Ó Broin said that “at least 1,000″ of the 2,400 homes referred to already have leases signed, so they are not at risk as the minister claims.
He added that the State should buy the remainder of the homes instead of leasing them from the investors as this would represent better value for money in the long-term.
“If the buyer knows that they’re going to get an exceptionally high rent guaranteed and index-linked over 25 years, that pushes up the cost of that property and then of course the taxpayer has to pay a very hefty bill,” he said.
Stamp duty
The new higher rate of stamp duty is the main component of the government’s response to the ongoing controversy surrounding so-called ‘cuckoo funds’ like the one that bought up the majority of the Mullen Park housing estate in Maynooth earlier this year.
In the Dáil earlier today, Taoiseach Micheal Martin was accused of helping so-called cuckoo funds to evade measures aimed at limiting their role in the housing market with this “sneaky amendment”.
Sinn Féin’s Mary Lou McDonald said the Taoiseach has “not reigned in funds” but is actually facilitating their actions and incentivising them to buy up homes, forcing regular buyers to compete with large investment funds.
“Don’t pretend this helps people stuck in the rental market,” she said.
“This is about big bucks and funds muscling in with the help of this government, into the property market,” she said.
“Same old Fianna Fáil, same old Fine Gael,” she told the Taoiseach, accusing Leo Varadkar and the Taoiseach of living in a “cosy little bubble”.
The Taoiseach moved to defend the government’s plans, stating they “can’t turn off the tap” immediately.
Martin said direct build is the focus on the government, but that the pandemic has slowed their progress.
“We need more houses and right now we don’t have enough supply,” he admitted.
Yesterday, when questioned over the amendment, Martin said the government’s response was being “distorted” with the Opposition focusing in on one single amendment, “as if that constitutes the entirety of Government policy, which of course it does not”.
- With reporting by Rónán Duffy, Lauren Boland and the Press Association
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Wouldn’t a plastic box have done in the morning with each class name on the box and the student name on the phone and left it in principals office until the end of the school day
@Tommy: How would she benefit personally from that?
@Tommy: Ah Tommy, sure no profit in that.
@Michale Kane: but it would save us taxpayers from breaking the piggy bank
@Thomas: if I was in her constituency, I’d vote her OUT for sheer incompetence
@Tommy: Who collects the phones and moves the boxes. Where would ones name go on the phone? Student leaving early. The principal is in a meeting in the office.
Who pays if one breaks?
And let me guess, it’s all up to teachers to sort this out?
@Tommy: such a load of nonsense U need to educiate yourself on teenagers today if u think that would work u are deluded they would be steets ahead of u
@Tommy: grow up u have not a clue
@Tommy: a plastic box on wall with slots for phones I saw recently some school doing it on tv I think . But there will be problems students all arriving at same time looking for phones to get bus on time to get home would be pure chaos
@Nala O’ Neill: exactly. Kids who get buses home all trying to get busses home they don’t all stay in one class room and also it’s not the teachers job to look after phones. put right ban on phones on school premises and any one caught with them suspend them
If the electorate require any further proof that FF and FG don’t give a flying fluck about tax payers money, then this is the cherry on the top of the bike shed, security hut and the childrens hospital cake.
@Paul Linehan: The test of the waters was the bike shed and security hut. They’re going to run away with it now as there were no consequences. The whole lot of them are corrupt beyond belief, which suits an equally corrupt voter base.
Caught out. No consequences in this circus country though
@common sense: look at her daddy, the fianna fail ansbacher king, another fianna fail gangster. It’s what they do, it’s literally in the breeding.
@Michael o connor:
And let’s not forget a certain career political in the wee north
Who’s name turned up in a TV investigation about healthy people claiming from a British charity for a subsidy to buy themselfs a new car.
@H Woo: did she get a punch or not, another do as I say not as I do. Is that a cookie jar I see.
Dinners Naughten didn’t have ‘formal’ meetings either.
I suppose you could call an unrecorded, covert, meeting between a contract giver and a contract acceptor, ‘informal’.
A very lucrative contract was given to this company. 9 mil up front and then 2 mil a year. No tenders, no alternatives. Government up to their necks in dodgy deals and shoddy spending. Should be ashamed of themselves. But of course, lessons will be learned and nothing to see here. Disgusting.
@Tony Murphy: Has a contract actually been awarded yet?
@Tony Murphy: get them out
@Michael Burke: if it has then it hasn’t been announced. Shouty is just mud slinging. Personally, I don’t agree with the scheme but am waiting to see what happens next before drawing any conclusions
@Tony Murphy:
The shin Fein led government in the North of Ireland have also bought phone pouches at a higher cost pre unit to dish out the school kids.
@Michael Burke: yes, with a company that the minister had secret meetings with, and later denied.
@Michael o connor: where did you find this out ? I checked but couldn’t find any evidence. Regardless, she is a complete waster anyway
@H Woo: the DUP is in charge of education in the north of this island
What a complete waste of the tax payers money .
Better things spend tax payers money on. There irish people living in hotels and Irish people waiting on long overdue hospital appointment s . Some irish people have lost family members died waiting as never got them
@martin finnegan: Sure discrimination if you are Irish, treating immigrants on a different level equality for all needs to be urgently addressed
She warned parents against buying children mobile phones so I did the opposite. I bought all my children smart phones. There’s an agenda with this shower tbh
@Des Daly: it’s not easy to make the stupidest comment on the Journal- so congratulations
Not even off the ground and another 2mil being thrown at it. Stop this madness, when are kids going to hear NO
again. Easiest fix ever. NO PHONE IN SCHOOL.
Same old FF. Lying, corrupt Fine Failures.
Pack your bags norma your no good .
Another treacherous liar.
@Marvin Dollery: an idiotic vanity project that’s neither wanted nor necessary, whilst children with scoliosis suffer on in unimaginable pain
@Kevvy kerrr: at start of year there were 85 kids with scoliosis waiting for operations, this has now been reduced to 20 and these will be treated abroad in the very near future.
@Pat Hazzard: so, they’ve finally reduced the number of these upsetting horrendous cases right in the shadow of a pending GE??? I’m not a cynical kind of guy but the words suspicious and electioneering come to mind
@Kevvy kerrr: Waiting lists for assessments for kids years long and kids with needs not getting the SNA support they need. And she’s throwing money down the drain. Shameful. They just don’t care.
@Pat Hazzard: Abroad being the problematic word, they shouldn’t have to travel abroad, the state has used sending people abroad for years and don’t have any will to stop doing, it’s pathetic. It should be dobe in public hospitals and stop giving mobey to private hospitals as tge market states that if they can’t survive tyen the market will consume them. Is that tge best you have Pat, I suppose they’ll start sending children abroad to be diagnosed for autism. Mary Lou McDonald brought the question up about children not being treated in 2015 and here we are after Burton attempting to shift the blame by accusing McDonald of criticising Irish healthcare workers but that’s the go to, isn’t it, point the finger at everyone bar those that have the power to do something.
@Frank Mc Carthy: waiting list has been reducing continuously all year
@Brian D’Arcy: you want the kids to wait longer ? Using specialists abroad means the list is reduced quickly
@Pat Hazzard: Hi Stephen Donnelly, do you think people are slow? It’s blatanty obvious you’re him. I want to say personally, in public, that you are a thundering disgrace to your parents.
@Marvin Dollery: It’s far, far worse It’s Stephen Kearon, the lad kicked out of FF.. H .Woo another of his multiple a/cs. His devotion is delusional.
@Pat Hazzard: Reduced by taking their name off the list or by receiving treatment??
@Pat Hazzard: as a parent of a child with scoliosis this is a complete lie, as the children in the news are complex and can’t travel abroad. After been left many years without treatment.
And the numbers are in the hundreds still.
Another 1.7m every year too…
She’s up to no good with this
Ansbacher. The whole thing stinks.
She has lied to line her pockets with filthy cash! More bribery and corruption. Arrest her now..
@Basildon Joe:
Bring what you have to the Gardia or the Sunday world
You cannot trust any politicians. They tell you what you want to hear and their gone. They are all at it.
The pouches issue aside- There is absolutely nothing wrong in what the Minister did here. A chance encounter for 30 seconds (as is frequent at all these gatherings) and she is hammered. Frankly it’s becoming an utter joke how some people have outrage at everything !!
@Richard Prendiville: 9 million up front, 2 million per open ended contract and no tenders… smells like a security hut, bicycle type deal…. Smells fishy.. unless you work for the suppliers or Norma. Do you ?
@Richard Prendiville: government shill much?????
@Richard Prendiville: Ye lot including Norman and Michael should stick to the teaching…. As my auld dear Grandfather used to say ‘If ya can’t do it, then teach it’. ;)
@Michale Kane: Theres a big difference between a bad decision and outright collusion or bribery!
@Michale Kane: And theres a comment that makes no sense whatsoever… back to school for you id say!
@Frank Mc Carthy: ??
@Richard Prendiville: Aye there’s a difference been both, no s..t sherlock … but both should be punished not rewarded.
@Richard Prendiville: oh so it’s just a weird coincidence you are defending Norma and have same name as a few Teachers!
@Michale Kane: ill defend anyone just being trolled for the sake of it…
@Richard Prendiville: oh is that so, what you doing here then ? Haven’t see ya defending any trolling in last few weeks anyways..
@Richard Prendiville: yes if that chance encounter didn’t result in a 9 million taxpayers footing the bill. And no tender.
How can people justify this in the name of business.
Its criminal.
@Richard Prendiville: absolutely agree.
Three times caught using the phone suspend from school for a week.If studentships no respect this will be very effective.please don’t say it will effect their studies if suspended.This is what’s wrong no accountability same in civil service same in dail.The disgraceful behaviour and bad language.Some think their in their local or own pub.Dont forget a td publican broke covid law and nothing happened
@Stephen Byrne:
Same with sin Fein at the Story funeral in the north
Golfgate, Zapponegate, Mansion House Gate, all the gates.. flying first class to concerts in other countries .., and less not forget the forever classiness of topless can drinkin in the park!
Which politicians or civil servants are getting kickbacks from this deal?
@Hunt Ley:
Ask Sinn Fein, they are in charge of the finance portfolio in the North
@H Woo: Another ignorant comment. Sinn Féin take the average industrial wage, why don’t Labour, Fianna Fáil, Fine Gael and the Greens among others do the same, oh, sorry, I forgot that they have to become millionaires from politics. If you had a brain you’d know that Givan ran a trial scheme in the north with one school which he paid for out of his departments, education, coffers and it cost 200,000. Sorry, I accused you of having a brain, that’s mean.
@Brian D’Arcy: That auld chestnut has been proved to be fiction. None of them take average wage. How the hell could Mary “burka” O’Donnell and Piers Docherty own mansions on that? Docherty also owns a hotel in Donegal.
Did she get a time machine back to 1992 to go to the Hairdressers?
@Brian Barry: 1992 is where her head is at.
Have all the teachers that are ministers td’s and senators resigned their posts are they goto get another pension.Ask them
A conference of head teachers,and just happens to have a sales man with a phone pouch.the same one that the government wants to supply for 9 million. And then how much after that,probably a couple of million a year.
Nothing to see here. Yawn
The only person who actually pays for this is us, the taxpayer. First, they spent 2.3 billion euro on dodgy contracts for the Children’s Hospital. Then they spent 350,000 euro on a bike shed for Dáil members. Next they spent 1.2 billion euro on retrofitting government buildings to be compliant with their own rules while we have to foot the bill for both their upgrading as well as our own under those government-mandated laws. As well as that, we are now told that Norma Foley, despite repeatedly denying that a phone pouch manufacturing company was lobbying her, actually did meet with one of the company’s executives and then awarded them a multi-million euro contract. This level of waste and corruption reminds of when I was a youngster and Haughey was in office. He would be proud of these.
And she’ll be re-elected in 3 weeks time regardless.
@Thomas: hopefully not. But alternatives just as bad
She lives in a bubble wasting taxpayers money on phone pouches just put phones in a drawer or cupboard
@Pauline Cahill: get real that would not work have u any teenagers in your family ?Would the phone be left at home if the parents insisted ?students would buy & sell u, none of these would work .where they have pooches in other places they are working very well
Said this stinks a bit one month ago…. low and behold.
Those kids need those pouches like fish with bicycles. Be great when we follow suit like Australians on the under 16s banned from SM anyway.
@wwvCLOuF: at least the fish have a bike shelter.
H Woo and Pat Hazzard are some of Stephen Kearons multiple trolling a/c .. FF even kicked him out .. better to ignore or mute him.. you’ll recognise others . Similar patterns.. mostly drivel and some drivel. the Noel Lee a/c another good example
@Michale Kane: talk about the pot calling the kettle black.
Norma Foley needs to be replaced ASAP. She is dangerously incompetent
What’s a phone pouch and why does it matter?
@james rowan: if only Phones had an off button..eh ? …
.. Turn phone off, put in basket, give back after, turn on… no new wheel inventing required…. sorted, simpler and no taxpayers money to private profit required.
@Michale Kane: wise up would never work U must have no experience of teenagers if u think that would work Teachers will be delighted with this as phones are a big distraction in schools
@james rowan: seems simple so all BS about it?
I have conflicted opinions on this. 1There are a lot and I mean a lot of n@ sty teens in schools. Bullying through phones on a daily basis 2 then there are kids who with autisim sensory issues who need to.listen to music whilst walking down crowded corridors and before I get slated for this there are students who get permission for this . I know as I am a.parent of a son who did right up to his leaving cert.
@Karen Marten: 3 there are those being bullied at lunch time s who may need.their phones to call.an older sibling or friend or parent .
4 I have a child starting secondary school with asd who will be on a bus for 45 mins to hour the school has an out right ban on phones but she may need one for the bus ride home if .she needs to block out noise to listen to music so. Yes I am conflicted on the idea as I’ve seen both sides of what danger it is having a phone in school times and how also they can help some students
Are these the same pouches that can be easily opened, if you know how?, If so, they are doubling down on the stupidity on this one.
If the government really cared about children’s safety they would legislate for penalties on the social media companies and restrictions around age. They would fund mental health services.
This is window dressing
they don’t need a phone at school
@Dominic Leleu: actually some do .
Norma’s legacy.A million a year to replace lost and damaged pouchs what a fantastic legacy and contract to have
Look at the state of our children’s mental health on huge waiting lists for aon. And all the over payments made and the money wasted when no services available when children diagnosed . 3 years my child was waiting for a re assement for a condition I knew she had. What a joke
She left the part out where the CEO of this company is a relative of someone currently in government!
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