Taoiseach Simon Harris has denied that the Government has done a U-turn on increasing the rate of stamp duty paid by vulture funds bulk-buying homes in Ireland.
It comes after junior minister and Fine Gael TD Neale Richmond said the current rate of 10 per cent should be doubled.
Earlier this year, the Government opposed a Sinn Féin proposal to increase the tax on the bulk-buying of homes.
Mr Harris said he had written to the Department of Finance on this issue several months ago and was told they are carrying a review out into the bulk-buying of homes.
Earlier this year, the Government opposed a Sinn Féin proposal to increase the tax on the bulk-buying of homes.
“As I have consistently said in the Dáil since becoming Taoiseach, if you make changes to taxation you generally do it through the budgetary process,” Mr Harris said.
“Obviously, the three parties in government will decide how best to address this in the Budget delivered on October 1.
“But again, it’s a statement of fact, I would have said it many times, since becoming leader of my party and Taoiseach that we do need to keep the issue of stamp duty constantly under review.
“I’m pleased with the measures that the government has taken to try and tackle the issue of bulk-buying by vulture funds, but we’ve also said consistently across all three parties those measures must always be kept under review.”
He added: “I do hope to see progress and movement on this issue in the budget but that will be a matter for budget day.”
Mr Harris made the comments as he officially opened the National Rehabilitation Hospital on Monday.
However, Tánaiste Micheál Martin urged caution over speculation ahead of the budget.
Speaking at the Canal Court Hotel in Newry, Mr Martin expressed surprise at Mr Richmond’s comments.
“Generally speaking at budget time there can be different ideas and proposals floated,” he said.
“I think the Government does need to be careful in terms of how we go about this.
“There will be different areas, the welfare package which is par for the course.
“I would urge caution in terms of market sensitive issues, so in terms of the stamp duty issue, for example, the Minister for Finance (Jack Chambers) had already commissioned a substantive review of that.
“That review is nearing completion and I’m surprised at Neale Richmond’s comments yesterday because I would have thought the sensible thing would have been to await the outcome of the review.
“We must approach these issues in an evidence-based way and in a substance-based way, and I think the sensible thing would have been to await the review.
“We’ll engage on it. I think the review will have to be published in the first instance.
“I’m conscious of the Housing Commission’s report as well which warned against a reactive approach to the rental market and to the market in general, and I’m conscious of the need for investment from the private sector in housing as well, and if we keep chopping and changing, that could damage investment in housing.”
Mr Martin also urged those considering ideas being floated ahead of the budget to refer back to the Summer Economic Statement for a “reality check”.
The statement, published in July, set out the parameters for a budget worth €8.3 billion – with spending measures of €6.9 billion and a tax package worth €1.4 billion.
Mr Martin also described a Green Party proposal for an enhanced child benefit payment in the first month after the birth of a child as “interesting”.
Roderic O’Gorman, the children and equality minister, said the first child benefit payment should increase from 140 euros to 560 euros as part of Budget 2025.
“I would point out that the Summer Economic Statement has already been published,” the Fianna Fáil leader said.
“The Minister for Finance Jack Chambers and Paschal Donohoe worked with the three party leaders in respect of that, and that’s set out broadly the parameters in respect of what’s possible within the tax package and what’s possible within the public expenditure package.”
Mr Harris welcomed the Green Party proposal.
Mr Harris said: “It’s an absolute priority for me, and I welcome the fact that it’s a priority for others in coalition, that this budget has a real focus on children, families, tackling child poverty and making sure that every child gets off to the best start in life.
“That’s something that I absolutely am a fully-signed up member of, I think that’s really important. How we decide to do it is something we’ll all tease out between now and the budget.”
He said it was “the time of the season” when political parties make budgetary suggestions, including the three parties forming a coalition government.
“Of course when it comes to budget day, the three parties come together and devise and design a budget, we will have a series of meetings as leaders with the Finance Minister and the Minister for Public Expenditure and Reform,” Mr Harris said.
