Minister of Education, Youth and Employment Louis Galea kicked off yesterday’s continuation of the House of Representatives debate on the proposed amendments to the Housing Authority Act by focusing on the recent budget measures intended to ease the financial burden carried by first-time home buyers.

Dr Galea said the government will be giving eligible first-time buyers a subsidy of a maximum of one per cent on property loan interests when the interest base rate established by the Central Bank exceeds 3.75 per cent. The subsidy will apply for 10 years and for properties the value of which does not exceed Lm50,000 (EUR116,464).

The duty chargeable for persons acquiring inter vivos any immovable property for the purpose of establishing therein or constructing thereon their sole, ordinary residence was in respect of the first Lm30,000 (EUR69,879) charged at the rate of three liri and fifty cents per Lm100 (EUR232.93) or part thereof. Dr Galea noted that the Lm30,000 threshold has been increased to Lm50,000 so that now the duty due on the first Lm50,000 will be that of 3.5 per cent, while the rest will be charged by five per cent .

Dr Galea praised the hard work undertaken by the Housing Authority and noted that the Authority was not passive or reactive but was a driving force so that new incentives and schemes were implemented. Dr Galea mentioned also the innovative schemes of shared ownership and the equity share scheme.

Opposition spokesman for Housing Stefan Buontempo said the purpose of this Bill is to amalgamate all government entities related to social housing into one entity and to transfer certain related powers from the Commissioner of Land to the Housing Authority.

Dr Buontempo said the Labour administration was always on the forefront in advocating better housing schemes and social housing policies. The opposition spokesman mentioned how the Campaign for Social Housing Justice had been launched in order to tackle the injustices in this field. It was the Labour administration that had started the process of amalgamation which is now being debated in parliament, he said. Dr Buontempo concluded by saying that the issue of mismanagement must be addressed, particularly in the field of social housing.

Nationalist MP Frederick Azzopardi analysed the Housing Authority’s current schemes and initiatives. In particular, Mr Azzopardi referred to schemes aimed at helping people with special needs, one of which comprises the installation of lifts.

Labour’s main spokesperson for Social Solidarity Marie Louise Coleiro Preca said that she will not be partisan in her contribution in the debate. She said that not everyone has the means of becoming the owner of his/her own residence. Therefore, the government should also make it a point to address those problems encountered by people who do not have such means and should tackle the rent reform issue in particular.

Nationalist MP Joe Falzon praised the debate and the interventions of the speakers of both parties, saying that the debate was of a very high standard. Mr Falzon said the government must strive to do justice in this regard. In the opening part of her winding-up speech, Minister for Family and Social Solidarity Dolores Cristina thanked all those who took part in the debate.

The Minister will continue her winding-up speech today.