Dáil Éireann Debate, Thursday - 24 October 2024
225. Deputy Cian O'Callaghan asked the Minister for Housing, Local Government and Heritage if he will align the reckonable income for social housing and the local authority home loan to ensure that no family is unfairly excluded from both due to different income sources being considered for each; and if he will make a statement on the matter. [43796/24]
Amharc ar fhreagraThe income assessed for eligibility for both schemes are broadly similar. However while the Social Housing income limits are set in net income terms, the Local Authority Home Loan income limits are expressed in gross annual income terms.
Applications for social housing support are assessed by the relevant local authority, in accordance with the eligibility and need criteria set down in section 20 of the Housing (Miscellaneous Provisions) Act 2009 and the associated Social Housing Assessment Regulations 2011, as amended.
The 2011 Regulations, as amended, prescribe maximum net income limits for each local authority, in different bands according to the area concerned, with income being defined and assessed according to a standard Household Means Policy.
Under the Policy, net income for social housing assessment is defined as gross household income less income tax, PRSI, Universal Social Charge and Additional Superannuation Contribution. The Policy provides for a range of income disregards, and local authorities have discretion to decide to disregard income that is temporary, short-term or once-off in nature. However, with the exception of the specific payments listed in the Policy as being disregarded, all income from social insurance and social assistance payments, allowances and benefits, and maintenance payments received is assessable.
My Department is currently in the process of reviewing assessable and non-assessable income under the Household Means Policy in order to ensure it continues to be appropriate.
The Local Authority Home Loan is a Government-backed mortgage for creditworthy applicants who cannot get sufficient funding from commercial banks to purchase or build a home. Single applicants must not be earning greater than €70,000 annual gross income in the previous tax year, while joint applicants must not be earning greater than €85,000 annual combined gross income in the previous tax year.
For the Local Authority Home Loan, all taxable income with the exception of three payments from the Department of Social Protection, namely Carers Benefit, Carers Allowance and Community Employment Schemes are included in the calculation for eligibility for the scheme.
Given that the Local Authority Home Loan income limits are notably higher than the social housing income limits, it is unlikely that an applicant who, on income grounds, is eligible for social housing would not be eligible for the loan.
There are no plans at present to change the income eligibility criteria for the Local Authority Home Loan.
