Dáil Éireann Debate, Tuesday - 28 January 2014
431. Deputy Bernard J. Durkan asked the Minister for Social Protection if her Department has undertaken an assessment of the rapidly escalating rent levels throughout the greater Dublin area resulting in the inadequacy of the current rent support system to meet requirements and consequent hardship; if she contemplates any particular measures to address this issue; and if she will make a statement on the matter. [4234/14]
View answer432. Deputy Bernard J. Durkan asked the Minister for Social Protection the extent to which she has received indications regarding the inadequacy of the rental support system to meet current market requirements in respect of those on local authority housing waiting lists who are dependent on private rented accommodation; if her attention has been drawn to the necessity to seek emergency steps to address the issue; and if she will make a statement on the matter. [4235/14]
View answer433. Deputy Bernard J. Durkan asked the Minister for Social Protection the total number of families currently dependent on rent support in Dublin and the surrounding counties; if she has received indications to the effect that current rent increases makes it impossible for families dependent on such rent support to exist; and if she will make a statement on the matter. [4236/14]
View answer434. Deputy Bernard J. Durkan asked the Minister for Social Protection if her attention has been drawn to the escalating crisis for families dependent on rent support who now find that up to 60% of their income from employment or social welfare goes towards their rent payment with resultant hardship; and if she will make a statement on the matter. [4237/14]
View answerI propose to take Questions Nos. 431 to 434, inclusive, together.
The purpose of the rent supplement scheme is to provide short-term income support to assist with reasonable accommodation costs of eligible people living in private rented accommodation who are unable to provide for their accommodation costs from their own resources and who do not have accommodation available to them from another source. There are currently approximately 80,000 rent supplement recipients for which the Government has provided over €344 million for 2014. The tabular statement provides details of the number of rent supplement recipients in Dublin and the surrounding counties.
Revised rent limits under the rent supplement scheme have been implemented with effect from Monday 17 June 2013 and will be in place until 31 December 2014. The rent limits were determined following an extensive review of the private rental market based on the most up-to-date data available. The purpose of the rent limit review is to ensure availability of accommodation for rent supplement tenancies and not to provide rent supplement tenants with access to all housing in all areas while ensuring that maximum value for money for tenants and the taxpayer is achieved.
There have been increases in the maximum rent limits in Dublin and Galway while there have been some reductions across a number of rural counties reflecting the conditions in the rental markets in those counties. Separate to the county limits, higher rent limits have been provided for in North Kildare and Bray areas.
The Department continues to monitor trends in the private rental market to determine the impact on rent supplement recipients. The fact that approximately 80,000 people are currently in receipt of rent supplement, with almost 38,000 in Counties Dublin, Meath, Kildare and Wicklow, shows rent supplement recipients are able to access accommodation within the rent limits. Department officials dealing with rent supplement tenants continue to make every effort to ensure that their accommodation needs are met and that the residence is reasonably suited to their residential and other needs.
Rent supplement is calculated to ensure that an eligible person, after the payment of rent, has a minimum income equal to the rate of supplementary welfare allowance appropriate to his or her family circumstances, less a minimum weekly contribution of €30 for a single person or €40 for a couple which each recipient is required to pay from his or her own resources. The minimum contribution represents between 13% and 16% of the basic rate of supplementary welfare allowance.
The Department has no evidence showing widespread or systemic ‘false declarations’ of rent supplement through the use of illegal top-ups. The tenant, landlord or landlord’s agent must complete the rent supplement application form, which includes the amount of rent, and declare that the information provided is correct and accurate. The Department’s form clearly states that making a false statement or withholding information may lead to prosecution.
The Department, in June 2012, introduced powers of enquiry for staff to formally request and oblige landlords to provide information in respect of rent supplement tenants, principally to verify the agreed rent and existence of the tenancy. Any instance of false declarations should be reported to the relevant Department representatives who have specific legislative powers to deal with such offences.
The Department’s strategic policy direction is to return rent supplement to its original purpose of a short-term income support. In July 2013 the Government approved the introduction of the Housing Assistance Payment (HAP). Under HAP, responsibility for recipients of rent supplement with a long-term housing need will transfer from the Department of Social Protection to local authorities using HAP. Officials in the Department of Social protection are working with those in the Department of Environment, Community and Local Government, who are leading the project, in developing proposals to give effect to this transfer. It is intended that the scheme will be piloted in early 2014 in Limerick local authority with further roll out to selected authorities during the year.
Rent Supplement Recipients in Dublin and surrounding counties – December 2013
|
County |
No Cases |
|
Dublin |
29,541 |
|
Kildare |
4,135 |
|
Meath |
1,941 |
|
Wicklow |
2,381 |
