Sharon Keogan warns of 'financial madness' in housing model
Sharon Keogan criticised the approved housing bodies model after Councillor Ashley Moran's audit at Leish County Council, arguing it inflates social housing costs and wastes public money. She urged a national debate and an intensive investigation into the financing, ownership and delivery of social homes.
Findings from Leish County Council
The audit by Councillor Ashley Moran examined three decades of social housing costs, comparing homes delivered directly by the council with those delivered through approved housing bodies. Councillor Moran’s figures for Leish show the council paid up to £1 million per property through approved housing bodies, while homes built or purchased directly by the council cost close to £250,000.
How the approved housing bodies model operates
Sharon Keogan outlined how the state gives a loan to a housing body that is not repayable for 30 years, and then pays that same housing body monthly via the council so it can help repay the initial loan. The housing bodies also collect rent from tenants, many of whom rely on social welfare, creating two income streams for one home, and may be permitted to sell the properties after 30 years.
Impact on local councils and builders
Keogan said the government refuses to trust its own local council to build homes, leaving councils unable to lay a single brick because approved housing body projects have absorbed the approved available builders. She contrasted this with an earlier era when councils built entire towns.
Calls for investigation and media scrutiny
Describing the findings as a potential scandal, Sharon Keogan called for a proper debate and an intensive investigation into approved housing bodies. She asked where national media and investigative journalists are, noting there are 550 approved housing bodies and ending her remarks with the phrase Go rao mai agat.
We publish thousands of recordings to make Irish politics transparent and resistant to manipulation. Spotted an error? Report it — together we are building a reliable archive of Irish politics.
I want to draw attention today to a national issue highlighted last week in Leish County Council. Councillor Ashley Moran undertook Trojan work examining three decades of social housing costs, comparing homes delivered directly by the Council with those delivered through approved housing bodies. What she uncovered was startling. If the approved housing bodies model operates as presented, our nation has drifted into financial madness. We now have a government that refuses to trust its own local council to build homes. Instead, we are left with a system where the state gives a loan to a housing body, not repayable for 30 years, and then turns around and pays the same housing body every single month via the council so it can help repay the loan the state gave it in the first place. Imagine lending someone money and then paying them to pay you back and calling it innovation. It would be laughable if it wasn't costing the taxpayer a fortune. And let's call out the next layer of absurdity. On top of these guaranteed state payments, the housing bodies also collect rent from the tenants, many of whom rely on social welfare. Two income streams for one home. And to top it all off, the approved housing bodies are then permitted to sell the properties after 30 years. Meanwhile, the councils, the very bodies that once built entire towns, are forced to stand back and watch this circus unfold, unable to lay a single brick because these approved housing body projects have swallowed up all the approved available builders. And is any of this cheaper? Councillor Moran's figures, even though they apply only to Leash, are shocking. Through approved housing bodies, the council paid up to £1 million per property. When the council built or purchased directly, the cost was close to £250,000. If any of this is true, it is a total and utter scandal. And we must have a proper debate and an intensive investigation into this issue. Where is our national media and investigative journalists on these approved housing bodies? We have 550 of them. Go rao mai agat.
Thank you for downloading 🙏
If you publish this material on social media, we would be very grateful if you tagged VideoParliament. It helps us reach more people and keep building a transparent archive of Irish politics.
