Sinn Féin has hit out at the government for not heeding the warnings over the help to buy scheme.

The final cost of the scheme, which is to be axed, could be as much as €80 million.

Finance spokesperson Pearse Doherty said the reports are "worrying" given that the money spent on the scheme amounts to a direct transfer of money from taxpayers to developers.

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He said: "While I welcome reports suggesting that this scheme is to be axed in the upcoming budget the reality is that the damage has already been done and can be seen in the dramatic increase in house prices. Ending this scheme is not going to undo the damage it has done.

"With this scheme Fine Gael, with the assistance of Fianna Fáil, have driven up house prices and have facilitated the transfer of millions of taxpayers money into the pockets of developers. Reports that the final cost of the scheme could be as high as €80million are quite worrying in that respect.

"Sinn Féin's position has been vindicated once again."

(CD/LM)