Landowners who lands are zoned residential and who do not plan on building houses anytime soon could face an annual penalty of 3% of the market value of the land, under new proposals by the Housing Minister Simon Coveney.

The vacant site levy is being introduced to force landowners and developers to utilise land for housing, at a time when demand exceeds supply in many areas of the country.

Minister Coveney has instructed local authorities to prepare a register of owners of vacant sites from next January, and while the penalties will not be introduced until 2019, Castlerea Councillor Paschal Fitzmaurice believes smaller rural towns should be exempt.

Any piece of vacant land over half a hectare will be considered for inclusion on the local authority register.

However, Fianna Fail Councillor Paschal Fitzmaurice, who’s Chair of Roscommon County Council’s Planning SPC, believes smaller towns should be exempt, as there is not the same level of demand for new houses