GE16 -- Policies for housebuyers and homeowners

RTE 9pm News summarised the policies of the main parties with the following charts. First, to quote them verbatim:


  • 25% deposit top up
  • Central Bank to reduce variable mortgages
  • Retain mortgage interest relief until 2020


  • 25% top up to house deposit
  • NAMA Land Development Agency
  • Land Development Tax


  • Support Credit Union Mortgages
  • Increase competition to reduce variable mortgages
  • Encourage more switching


  • Cap Variable Mortgages
  • Repossession no longer a solution
  • Regulate debt collection

It’s only a wet week since FF destroyed the country, but the giveaway proposals have started already, partly shared – it must be pointed out – with Labour and SF. Yes, the CB-subverting 25% deposit topup in the FF and Labour proposals will be courtesy of Joe Taxpayer. Probably still a lot cheaper than the 90,000 arrears write-offs that SF seem to be contemplating.

The variable mortgage cap in the FF and SF proposals is a measure that the Central Bank already said they can’t and won’t do. Labour at least have a sensible unused development land tax proposal. FG’s proposals look the most modest, but no mention of the supply issue on any of them. Hopefully that’s a whole separate bit of all the party’s manifestos. The best that can be said is that the FG proposals might look marginally less perverse, illegal, or downright wacky than the rest.

Deposit top-ups don’t subvert the CB regs, the purpose of which is to limit aggregate risk in the banking system. They’re a pure fiscal measure.

A good way to drive up prices. How does that help anyone

It helps the people who benefit from rising prices.

Here’s a thread on the little bits and pieces that could be construed as a Housing Policy for the Social Democrats.


Unfortunately it didn’t get very far but it probably gives an insight into their general direction.

Good point. I was quoting RTE who seem to have got it wrong too. They were quite clear that it might fall foul of CB rules.