Rent Supplement Scheme Administration

Dáil Éireann Debate, Tuesday - 21 April 2015

Tuesday, 21 April 2015

Questions (237, 258, 277, 279)

Dessie Ellis

Question:

237. Deputy Dessie Ellis asked the Tánaiste and Minister for Social Protection if she will provide, in tabular form, the cost to the State arising from the rent supplement scheme for each of the years, 1989, 1993, 1996, 1999, 2002, 2005, 2008, 2011 and 2013. [15250/15]

Michael McGrath

Question:

258. Deputy Michael McGrath asked the Tánaiste and Minister for Social Protection the number of persons, on a county basis, who have availed of the interim tenancy sustainment protocol to date; and if she will make a statement on the matter. [15397/15]

Fergus O'Dowd

Question:

277. Deputy Fergus O'Dowd asked the Tánaiste and Minister for Social Protection the rent supplement cap in Balbriggan in County Dublin and in Drogheda and Dundalk in County Louth; and if she will make a statement on the matter. [15633/15]

Fergus O'Dowd

Question:

279. Deputy Fergus O'Dowd asked the Tánaiste and Minister for Social Protection if she will reconsider her decision not to increase rent supplement in County Louth; and if she will make a statement on the matter. [15636/15]

Written answers

Tánaiste and Minister for Social Protection

I propose to take Questions Nos. 237, 258, 277 and 279 together.

The rent supplement scheme provides 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. There are currently approximately 70,000 rent supplement recipients, for which Government has provided over €298 million for 2015. Rent supplement expenditure figures from 1999 are provided in the following tabular statement; separate rent supplement expenditure data for the years 1989, 1993 and 1996 are not available.

Details of the current maximum rent limits on a county basis are provided in the tabular statement below. The Department recently published a review of the maximum rent limits, “Maximum Rent Limit Analysis and Findings” and it is available on www.welfare.ie. The review finds that increasing rent limits at this time could potentially add to further rental inflation in an already distressed market, affecting not alone rent supplement recipients, but lower-income workers and students. Between the rent supplement scheme and the Rental Accommodation Scheme (RAS) administered by the Department of the Environment, Community and Local Government, the State accounts for a third of the private rented market. The State is therefore a very significant player in the sector which has a responsibility not alone to rent supplement recipients but also to the market as a whole, including all those in private accommodation. The review finds that increasing the rent limits would have several potentially negative effects, including providing an impetus for current rent supplement landlords to renegotiate their lease agreements to the new limits impacting on all existing recipients at significant cost to the Exchequer.

In light of the review’s findings, the Department will instead continue to allow for flexibility in assessing customers’ accommodation needs through the National Tenancy Sustainment Framework. Under this approach, each tenant’s circumstances throughout the country, including those in the Louth area, are considered on a case-by-case basis and rents can be increased above prescribed limits if deemed appropriate. I am satisfied that this is the appropriate response at this time which has assisted in excess of 1,000 rent supplement recipients throughout the country to retain their rented accommodation.

In addition, the Department in conjunction with Threshold operates a Tenancy Sustainment Protocol in the Dublin and Cork areas where supply is most acute. The primary objective of the Protocol is to ensure a speedy intervention to ensure that families at immediate risk of losing their tenancy get rapid assistance. Of the 1,000 recipients mentioned above, over 500 households in Dublin and some 12 in Cork city have been provided assistance through increased rent limits under the Protocol.

The review clearly points out that the main cause of difficulty for persons renting or seeking to rent at this time is the much reduced availability of affordable private rented accommodation. The issue of supply is being addressed by Government through the Construction 2020 Strategy and the Social Housing Strategy. My Government colleague, the Minister for the Environment, Community and Local Government, is also considering a number of policy options in relation to achieving greater rent certainty.

I can assure the Deputies that I am keeping this matter under close review to ensure that the appropriate supports continue to be provided for rent supplement recipients.

Tabular Statements

Table 1 : Maximum Rent Limits

County	Single Shared	Couple Shared	Single	Couple	Couple/ One Parent Family - 1 Qualified Child	Couple/ One Parent Family - 2 Qualified Children	Couple/ One Parent Family - 3 Qualified Children
Dublin - Fingal	300	350	520	700	850	900	950
Dublin - Not Fingal	350	400	520	750	950	975	1,000
Carlow	230	250	375	433	520	560	590
Cavan	160	190	325	350	400	415	433
Clare	190	210	320	350	400	450	500
Cork	250	270	485	575	700	725	750
Donegal	175	200	300	325	350	400	450
Galway	280	300	475	540	700	725	750
Kerry	190	220	365	390	500	520	540
Kildare	250	300	433	500	650	700	750
Kilkenny	200	230	390	430	540	565	590
Laois	200	230	340	350	450	480	520
Leitrim	175	195	300	325	350	375	400
Limerick	200	240	375	400	500	550	600
Longford	160	175	290	300	325	340	350
Louth	215	250	390	400	550	575	600
Mayo	195	215	375	390	433	465	500
Meath	200	260	390	420	550	600	650
Monaghan	180	190	300	350	400	433	450
Offaly	200	220	360	400	450	475	500
Roscommon	200	220	300	325	400	410	425
Sligo	195	220	400	425	520	540	550
Tipperary	195	220	370	400	485	500	525
Waterford	220	240	375	390	475	500	525
Westmeath	190	210	390	400	500	520	530
Wexford	250	270	375	390	500	540	575
Wicklow	240	290	425	450	600	610	625
North Kildare	270	290	500	575	750	800	850
Bray	275	300	520	680	850	925	1,000

Table 2 : Rent Supplement Expenditure: 1999 to Present

Year	Cost - €000
1999	128,240
2000	150,590
2001	179,438
2002	252,203
2003	331,471
2004	353,762
2005	368,705
2006	388,339
2007	391,466
2008	440,548
2009	510,751
2010	516,538
2011	502,747
2012	422,536
2013	372,909
2014	338,1351
2015	298,4152

1 2014 Revised Estimate.

2 Rev 2015 February Exp.

Question 238 withdrawn.