DUBLIN, Ireland–Ireland’s government said it is committed to examining how the multi-billion euro deposits held by the Irish League of Credit Unions could assist in the delivery of social housing.
A spokesman for the Department of Housing confirmed the inclusion in the Programme for Government of the commitment to examine “how credit unions can support social housing through voluntary housing services,” according to the Irish Times.
The Programme for Government sets the timeframe for the move inside one year.
The Irish League of Credit Unions announced earlier this year it was prepared to provide a fund of up to about €5 billion to assist in the development of social housing, the Irish Times reported.
According to the Times’ report, the league offered to provide the funding by buying a Government bond, or through a Government designated “special purpose vehicle” that would have the effect of keeping the borrowing off of the government’s books.
“The commitment to engage with the Irish League of Credit Unions and the Central Bank, whose sanction is required, comes as Minister for Housing Simon Coveney said he is prepared to look at radical ways to ease the housing crisis,” the Irish Times said.
The inclusion of the commitment to examine the credit union deal follows meetings between the Irish League of Credit Unions and political parties as well as Independents as the Programme for Government was negotiated.
The league has also been meeting Approved Housing bodies which are supportive of its plan, the Irish Times said.
The potential for the movement to make additional contributions towards the broader community through investing in social housing and small businesses is not only immense, but necessary for the greater good, league president Brian McCrory told the league’s annual general meeting in Limerick, according to the Irish Times.
The Central Bank said it could only say “discussions are ongoing.”