Address by Mr Noel Treacy T.D., Minister for Science, Technology and Commerce at the Launch of the Irish Association of Student Accommodation Officers on Thursday 29th March 2001 @ 6.30pm Royal College of Surgeons, Dublin

I am delighted to be here this evening, to mark the launch of the Association of Student Accommodation Officers (IASAO). I believe that it is timely that this Organisation was established and I heartily congratulate all of you on your Initiative in taking this step.

The phenomenal growth in demand for housing generally in recent years, is largely a product of our recent economic miracle, which has meant higher employment and higher take home pay, coupled with demographic factors, such as smaller household sizes, a population bulge at household formation age and high immigration

Initially, this demand explosion was not matched by sufficient supply of new housing. However, we have put in place a comprehensive range of measures, to maximise and expedite housing supply. These measures are bearing fruit. Last year, we again saw record housing output, with almost 50,000 new houses being constructed. In spite of continuing high demand, the effects of increased output are being reflected in moderating house price trends, since house price inflation, peaked in 1998.

The imbalance between supply and demand for housing was impacting upon the availability of accommodation in the private rented sector and accordingly, on students. For this reason, this Government introduced tax incentives, specifically for the provision of student accommodation, in Section 50 of the Finance Act, 1999; to increase the supply of student accommodation.

The introduction of Section 50 tax incentives, is likely to produce a significant increase in the availability of purpose built student accommodation, on or near campus. Returns received recently from third level colleges by our Department of Education and Science, indicate that already 2,260 student accommodation bedspaces, have been certified by Colleges, under Section 50 and a further 14,000 Places are at various stages of planning.

Furthermore, the Commission on the Private Rented Residential Sector, established by my Government colleague Mr. Bobby Molloy TD, Minister for Housing and Urban Renewal, has made a number of recommendations, designed to radically reform the Private Rented Sector.

Our Government Proposals for major Reforms in the Private Rented Sector, arising from the Recommendations of the Commission, were announced on the 5^th January last. The response included, acceptance of the Recommendations relating specifically to students. Implementation of the various measures announced is underway, including a comprehensive overhaul of the landlord and tenant legislation.

I wish you well in all of your endeavours in the years ahead. Please feel free to contact me, if you consider that I can assist you in ensuring that your voice is heard, at Government level.