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Cabinet approve Government motion on housing

The Labour Party has said a shift in approach is needed or the Government will fall short of its housing target this year
The Labour Party has said a shift in approach is needed or the Government will fall short of its housing target this year

The Cabinet has signed off on a Government motion on housing which specifies the need for the State to diversify sources of investment when it comes to housing delivery.

The motion, which was passed at an incorporeal Cabinet meeting, notes that the level of investment in housing required in the long term cannot be solely the responsibility of the State.

It is a counter motion to a Labour Party Private Members' motion due to be introduced in the Dáil tomorrow, which calls for the State to take a far more active role in housing delivery.

Labour's Spokesperson on Housing Conor Sheehan said: "Unless there is a fundamental shift in approach, the Government will fall far short of its 41,000 target for this year - and will continue to fail in the years to come."

On Sunday, Taoiseach Micheál Martin told RTÉ's This Week that the Government needs to pivot more strongly to getting more private investment in the market as the State "can't do it all on its own".

He added this may involve some politically unpalatable decisions, but the Government will be guided by the work of the Housing Committee.

It also emerged yesterday that the Government is examining a recommendation in the Housing Commission's report which backed the introduction of a system called "reference rents".

This would mean limits regarding how much a landlord could charge would be related to factors such as location and size of property.

It is understood these reference rents could be one of a series of alternatives which will be brought to ministers in an options paper.

Government sources say that an extension of the rent pressure zones cannot be ruled out.

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