Daft Property - Irish Property News

Ireland needs a new publicly owned bank modelled on a lender that helped rebuild Germany after the Second World War, it was claimed today. Labour leader Eamon Gilmore said a state bank was necessary to inject much-needed cash into struggling smaller firms and business start-ups. A Strategic Investment Bank - based on Germany's KfW bank, which was set up under the post-war Marshall Plan to rebuild a devastated Europe - would also raise money for public projects, he claimed. "Businesses need money to start up and keep going," he said. "At the moment and certainly for the foreseeable future there does not appear to be any prospect that the existing banking system is going to provide that finance." Mr Gilmore said the proposed bank would be set up with €2bn taken from the national pension fund, with another €18bn raised from international money markets. Under the Labour plan, it would have a small number of branches and, while state-owned, would be run independently...

House prices to fall until 2012, industry bosses told... HOUSE prices will continue to slide until 2012, it has been claimed, as construction chiefs were told the industry will never be the same again. Yesterday’s figures also show that lending to the construction industry soared from €10 million in 2001 to €115m at its peak. The statistics were revealed at the Construction Industry Federation (CIF) conference in Cork. Labour party leader Eamon Gilmore said that the industry will never again employ the same number of people as it did two years ago. He said there will again be a demand for new housing but he wants a construction industry – like any other – that is sustainable. At its peak in 2007, the industry employed 280,000 direct employees and a further 120,000 indirect, equivalent to 19% of total employment. Today it employs 200,000 but the CIF said that another 100,000 direct and indirect jobs could still be lost. Mr Gilmore also said there is huge scope for reform in Ireland’s pl...

Nobody is laughing as nation gets left in lurch... We are at the brink of being ungovernable as our absentee political class flee the Dail... This may have been the week where the political establishment was caught with its trousers down around its ankles but nobody is laughing. It is not often these days that Leinster House is a catalyst for Christmas images but there was more than a small element of that much loved children's poem 'The Night Before Christmas' surrounding the latest Dail debacle. On 'black Wednesday' the worst exchequer figures in the history of the State were announced, but in the Dail 'not a creature was stirring, not even a mouse'. One supposes we shouldn't have expected anything better. Those absentee Ascendancy landlords who allowed Ireland to rot during the great famine may be one of the most reviled groups in Irish history but, as the economy experiences its worst shock since the famine, it appears as though we have our own home-...

No Sniptoeing through the tulips for Brian's gang... Colm McCarthy was laid-back, but serving up his menu to a queasy public is going to strain Ministers’ stomachs... AFTER YEARS of high living, our political leaders arrived at the Café From Hell yesterday and were forced to confront a menu of the most foul and indigestible choices. The Taoiseach and his Ministers will have recoiled from the bill of fare, but they also know that if they don’t order and dispatch an ample sufficiency, the consequences for them and the rest of the country could be catastrophic. There’ll be no Sniptoeing through the tulips for Brian and the gang after the steaming mess of cuts that Colm McCarthy served up to their sophisticated noses. What’s worse, when they’ve properly perused what’s on offer, they’ll have to dish out McCarthy’s recommendations to an already queasy public. Will the Government have the stomach to do it? Brian Lenihan – the man who has to send out the plates – appealed for calm after th...

Does this finally mean bye-bye to Bertieland? Just because Brian Cowen et al are proclaiming the end of crony capitalism doesn't mean it's dead yet... They do things differently in Sweden. Up there, they pull together in crisis. They show a united face to the outside world when the chips are down. They are ideal candidates for a social solidarity pact. Out here on the far side of Bertieland, we don't have the stomach for such happy-clappy stuff. On Wednesday, Brian Lenihan announced details for the National Asset Management Agency, or, if you will, the bad bank. This agency will take control of the property assets in the country's main banks, thus freeing up the banks to lend money to businesses. The book value of the assets, most of which are toxic, is estimated at €80bn to €90bn. Nobody knows the real value of the assets because at the moment, as nothing is selling, there is no market in which to put a price on them. The process is designed to clean up the horrendous ...

Ireland Cuts Spending As Budget Gap Widens... DUBLIN -- I reland's prime minister announced €2 billion ($2.57 billion) in public-spending cuts on Tuesday, saying the country desperately needs to shore up its battered public finances. Also Tuesday, the Polish government approved a contingency plan to trim public spending by 19.7 billion zlotys ($5.65 billion). The budget cuts come even as other countries are boosting spending to juice their economies. Speaking to the Irish parliament, Prime Minister Brian Cowen said the bulk of this year's cuts -- some €1.4 billion -- would come in the form of increased pension levies on public-sector employees. That is effectively a pay cut for those workers. Mr. Cowen also pressed forward with tax increases for higher-income workers and second-home owners. Though countries around the globe are unwrapping stimulus plans, Ireland is in different straits. Tumbling house prices are gutting property-tax receipts, and Ireland is facing a widening b...

THE Irish banking system would have “totally collapsed” without the Government’s €400 billion crisis guarantee plan, the Tánaiste warned yesterday . Mary Coughlan made the claim as opposition parties attacked the rescue bid’s “vagueness”. The enterprise, trade and employment minister insisted failure to act would have tipped Ireland into economic meltdown. “We would have found ourselves in a different set of circumstances if we had not brought in this legislation. We would have undermined the system of banking and it would have totally collapsed,” she told the Dáil . Ms Coughlan was responding to demands from Labour leader Eamon Gilmore to explain exactly how much taxpayers were expected to put at risk to cover the rescue plan, and what banks would be charged if they take up the Government’s offer to cover their liabilities. “This country is being asked to go guarantor for the banks and in effect we are being asked to put up the deeds of the country as security in doing so. “How muc...