Investment `urgently needed' in student housing

Direct Government investment in on-campus accommodation is "urgently needed" to solve the student housing crisis, the Union of Students in Ireland has said.

"Only 6 per cent of students in Ireland are housed in on-campus accommodation compared with a European average of 17 per cent," said Mr Julian De Spainn, the USI president.

Mr De Spainn was speaking at a demonstration outside the Department of the Environment and Local Government yesterday. Mr De Spainn called the current level of on-campus accommodation "a disgrace" and said the model for the Government should be the UK, where 28 per cent of students are housed in oncampus accommodation.

He explained the direct provision of student accommodation could only be of benefit to the Government in managing the housing situation. "Any student accommodation that's built will only help the private-rental sector in general, in terms of taking students out of it."

He also said the money directed into student housing would be a once-off investment. "Any money that's generated from on-campus accommodation now can be put into more on-campus accommodation."

Apart from easing the strain on the general availability of housing, Mr De Spainn said this accommodation was vital because students could no longer afford off-campus housing.

"Accommodation prices have gone up 97 per cent over the last three years, according to the Auctioneers and Valuers Institute. The grant has gone up 9 per cent. This Wednesday there will be another 17,500 students looking for accommodation nationwide and the maximum grant of £49 per week is not even going to cover the rental costs in most of the main cities," he said.

Although he welcomed the ongoing housing developments under the section 50 tax concessions, he said they were "not happening at a fast enough rate" and would not meet the demand.

"We need an extra 14,000 beds to bring us in line with Europe, and the tax incentives will only get us 50 per cent of that by 2003." "There is some gain," he conceded, "but to deal with the problem once and for all will take Government direct investment."

Commenting on the developments under the section 50 tax breaks, Mr Cian O'Callaghan, USI campaigns co-ordinator, stressed the housing built would only be reserved as student-purpose accommodation for 10 years.

Mr O'Callaghan claimed many of the student residences were designed so that the walls could be easily broken through to allow them to be converted into apartments more suited to professionals.

"The Government isn't getting value for money under this scheme," he said. "They're losing tax revenue and then losing the student accommodation after 10 years."