I propose to take Questions Nos. 19, 23, 34, 35, 40, 51 to 53, inclusive, 58 and 60 together.
The significant increases in rents that we are seeing currently, particularly in urban areas, are caused, primarily, by a severe shortage in supply. The best way to address rents in the long term, and benefit the entire sector, is to increase the supply of rental accommodation and accelerate also the delivery of housing for the private and social rented sectors. However, I acknowledge that there is a need for short-term measures also.
Pillar 4 of the Rebuilding Ireland - Action Plan for Housing and Homelessness commits to developing a comprehensive strategy for the rental sector. The strategy will include measures to address immediate issues affecting the supply, cost and accessibility of accommodation. In addition, the strategy will consider measures to increase security of tenure and, in particular, the potential of new mechanisms for both setting and reviewing rents. There will also be a focus on maintaining existing levels of rental stock and encouraging investment in additional supply.
The strategy will provide a vision of the role that the rental sector will play in the short, medium and long term in the context of the Government’s overall objectives for the housing sector. I expect it to be finalised before the end of the year.
Some of the measures in the rental strategy will require supporting amendments to be made to the Residential Tenancies Act. However, other legislative changes are being accelerated for early enactment in the Planning and Development (Housing) and Residential Tenancies Bill 2016, which commenced Second Stage in the Seanad yesterday. Tenants and landlords alike will therefore see a number of improvements in place arising from these legislative provisions.
The key challenge is to ensure the development of a viable and sustainable rental sector that can provide choice, quality, value and security for households together with secure, attractive investment opportunities for rental providers.