Taoiseach 'alarmed' by low home-ownership rates in Ireland

Kenneth Fox

Taoiseach Leo Varadkar has said he was “alarmed” to see Ireland in the bottom three of EU countries for home-ownership in a new report.

Mr Varadkar made the comments at the Fine Gael parliamentary party meeting on Wednesday night and was referring to findings in the National Economic and Social Council (NESC) report on the private rental sector in Ireland.

As the Irish Examiner reports, The report which was brought to Cabinet also recommended changes to the regulation of the private rental sector.

Mr Varadkar told his party colleagues that he was “surprised” and “alarmed” about the findings of the report which show Ireland is behind countries such as France and Italy regarding homeownership despite 70 per cent of Irish people owning their own home.

“We’re now in the bottom third of the EU countries in home-ownership which in many ways is quite alarming to me to see that,” Mr Varadkar said.

The NESC report recommended a move to a structure like the National Car Testing (NCT) system which could be set up for rental properties to ensure they meet minimum standards.

Mr Varadkar told his party colleagues that he did not think this was a bad idea.

He also told the meeting that NESC has the view that tax breaks or fairer treatment for landlords should be considered to encourage them to stay in the system but only on the basis that tenants got stronger protection.

The Taoiseach said the government will have to make some decision on these issues in March.

Sources at the meeting also said Mr Varadkar noted the latest Daft.ie report which showed rents in the final quarter of 2022 rose 13.7 per cent on the same period a year ago.

The Fine Gael leader said rent pressure zones have been quite effective in keeping rents down for people but the issue with high rents emerges when new properties come on the market.