Sinn Féin spokesperson on Housing Eoin Ó Broin TD has called on Minister for Housing Darragh O’Brien to be honest with the people who have been approved in principle for a Rebuilding Ireland Home Loan and who are on the temporary wage subsidy scheme.

A response to a parliamentary question has confirmed that even if applicants are approved in principle, they will not be able to draw down the funding until their income has returned to the level in their original application for a set time of up to three months.

Teachta Ó Broin said: “Last week I raised concerns that despite different Housing Agency advice, the Minister for Housing was going to issue a circular to local authorities containing instructions for a blanket ban on mortgage draw-downs for people who have been approved in principle for a Rebuilding Ireland Home Loan and who are on the temporary wage subsidy scheme until they have exited said scheme.

“Minister O’ Brien vehemently said that this would not be the case.

“But the response to a parliamentary question, which I received earlier this week, has confirmed that even if applicants are approved in principle for the Rebuilding Ireland Home Loan, they will not be able to draw down the funding until their income has returned to the level in their original application for a set time of up to three months.

“Sinn Féin is not advocating for people to be granted the Rebuilding Ireland Home Loan when they have no capacity to pay it back.

“However a blanket ban is not the correct approach. Households applying for the loan and their capacity to service a mortgage must be decided on a case by case basis.

“Minister O’Brien must be honest with those approved in principle for a Rebuilding Ireland Home Loan on the wage subsidy scheme who are waiting to draw down funding.

“He must also reconsider the introduction of a blanket ban and implement a more fair, nuanced approach.”