The Environment Minister is considering giving grants to first-time house buyers.

According to the Irish Independent, the plans are targeting urban couples who are struggling to meet the Central Bank's mortgage deposit rules.

The move comes amid reports the Government is considering mortgage arrears plans at the end of the month.

These new plans being considered by the Labour Party would see Minister Alan Kelly direct urban local authorities to give cash grants to those struggling to get on to the property market.

It's reported that senior figures within the party support the plans - which are designed to help young couples meet the Central Bank's mortgage deposit guidelines.

The proposals would likely form part of the Labour's General Election manifesto - and not be on the table for October's Budget.

It comes amid growing speculation that announcement on new plans to tackle the mortgage arrears crisis will be unveiled by the coalition after the Spring Economic Statement at the end of the month.