The purpose of the rent supplement scheme is to provide short-term support to eligible people living in private rented accommodation whose means are insufficient to meet their accommodation costs and who do not have accommodation available to them from any other source. Currently, there are approximately 86,000 rent supplement recipients for which the Government has provided over €403 million for 2013.
The Government has approved in principle to transfer responsibility for the provision of rental assistance to persons with a long term housing need from this Department to housing authorities using a new Housing Assistance Payment (HAP).
Reporting and policy matters in relation to HAP, including the necessary legislative requirements to facilitate its implementation, are a matter for the Department of Environment, Community and Local Government (DECLG). However, officials in this Department are working closely with those in DECLG to assist with the necessary work required to initiate HAP including the business planning process, examining the possibilities for providing for direct deduction from social welfare payments, assisting with the economic assessment and supporting the piloting of HAP.
In December 2012, this Department’s household budgeting scheme was amended to provide for the mandatory deduction of local authority rents. This is a major stepping stone in facilitating the transfer to local authorities. The purpose of this measure is to help local authorities address their concerns regarding the build-up of rental arrears and assist with the implementation of HAP. To further strengthen their position, DECLG have indicated that they will review tenancy agreements to make it a provision of such agreements that tenants must sign up for the household budgeting facility.