Farrell concern as waiver scheme for buyers nears end

A temporary measure in place for the last year which reduced the financial burden on people applying to build their own houses comes to an end towards the end of this month, a Westmeath County Council member has warned.

Cllr Tom Farrell raised his concerns at the March meeting of the council about the conclusion of the waiver of development levies and the refund of Uisce Éireann water and wastewater connection charges for first time buyers.

He received the unanimous backing of the rest of the council for his proposal that the Minister for Housing, Local Government and Heritage, and the Minister for Public Expenditure and Reform be asked to extend the temporary waiver scheme.

Councillors also agreed to circulate the motion to other local authorities, in the hope they will back the call.

“This scheme has proven effective as evidenced by the increase in the commencement notices issued,” Cllr Farrell said, stating that commencement notices increased by 21% in 2023 to over 32,800 houses nationwide.

He said that in November 2023, 3,087 units were commenced; in December, 3,167; in January this year, 3,357; and in February, 3,699.

“It’s good to see that the government action to activate delivery of more homes is working but we need to make sure the development waiver continues,” he said.

He said there are a lot of people whose applications are currently going through the system, worried that they won’t receive approval before the cut-off date: “If you don’t get planning permission, first time out, or it goes out for further information, you could miss the deadline, April 25,” he said, explaining that applicants have to have their commencement notice sent in by that date – but many are stuck in what he described as a “queue” because of the difficulty in getting builders.

Support for Cllr Farrell’s motion came from Cllr Johnnie Penrose, who said that building costs have risen significantly in the last year, and the waiver scheme relief has been of much benefit to those who qualified. Cllr Andrew Duncan said: “The waiver was brought in because of costs and costs have increased since, so I think that the least we can do is extend it.”

Cllr John Shaw added: “This has helped kickstart some schemes and some developments that would otherwise have been unviable,” he said, adding that was particularly the case in some schemes in Westmeath.

Cllr Paul Hogan also lent his support: “I think anything that assists in the supply of housing in a housing emergency or housing crisis needs to be supported,” he stated.

Council cathaoirleach, Cllr Liam McDaniel, commended the merit of the motion, but said he had one “gripe” with the scheme – it did not benefit those who were applying to build extensions.

Backing came also from Cllr Mick Dollard, who described himself as being almost an endangered species as a councillor who had built his own house. Everyone who gets the chance to do so should, he said, stating that it was “like going to university”.

“You have to learn very quickly!” he declared, before going on to remark that even the smallest building project has now become expensive as a result of the Ukraine War.

Also in support of the motion was Cllr Paddy Hill: “I remember the time when we gave a grant to people to buy houses: now we skin them,” he said.

Interim county manager Barry Kehoe said he supported the councillors’ calls: “It has been a welcome initiative by government, and we would welcome its extension as well,” he stated.

Thanking his colleagues for the support, and asking that the motion be circulated to other authorities, Cllr Farrell remarked that when people are building their own homes, a few thousand euro in the difference can be a very big help.