Nama could be 'repurposed' to become the state's housing developer
Leo Varadkar said the bad bank may ‘step in where the private sector has failed’.
THE GOVERNMENT IS considering giving bad bank Nama extra powers to become a state building agency.
Addressing Fine Gael colleagues at the party’s think-in in Clonmel today, Taoiseach Leo Varadkar said the government was “examining the possibility of repurposing Nama to develop lands on behalf of the state, to step in where the private sector has failed”.
He said the government understand the stress faced by people without a home as well as those struggling to buy one.
The idea of giving Nama – set up to deal with toxic property loans after the economic crisis - new powers has been floated before, although the agency is due to wind down in 2020.
Last month, Fianna Fáil housing spokesman Barry Cowen said the government should utilise Nama to help deliver new social housing, adding that it should be given a mandate to manage housing developments on publicly owned sites on behalf of local authorities.
It’s believed the government is looking for a way to borrow off the balance sheet – which means the money wouldn’t harm its short-term ability to spend in other areas - and that Nama could fit in with that plan.
No new quango
There had been speculation that the government could set up a new housing ‘quango’, similar to the controversial Irish Water, but this has been ruled out by Housing Minister Eoghan Murphy.
In addition to the government looking at reconstituting Nama, changes to planning regulations are also on the way to make it more affordable to build in towns and cities and make it more affordable for people to buy homes, according the Varadkar.
The housing minister made a raft of announcements at last week’s housing summit, and yesterday it was revealed that the re-introduction of bedsits is also being weighed as part of the changes.
The government also plans to roll out a ‘Deposit Protection Scheme’, and to crack down on landlords that retain deposits from renters.
Written by Christina Finn and posted on TheJournal.ie
