I propose to take Questions Nos. 2566 and 2567 together.
Rent supplement plays a vital role in housing families and individuals, with the scheme supporting approximately 29,000 recipients for which the Government has provided €180 million for in 2018.
Details of the number of rent supplement recipients and expenditure for the years 2013 to 2017 and for the six months ending June 2018 are provided in the attached tabular statement.
Rent supplement’s outturn forecast is calculated based on its expected level of activity taking into account transfers to, and the impact of, the housing assistance payment scheme (HAP) for the period under review. Rent supplement forecast outturn for 2019 will be determined as part of the budgetary process in consultation with the Department of Housing, Planning, and Local Government which has responsibility for HAP and other social housing solutions.
Rent supplement customer numbers have declined during the period commencing December 2013 (c.79,800) to June, 2018 (c. 29,000). The strategic initiative of returning rent supplement to its original purpose, that of a short-term income support, facilitated by the introduction of the HAP scheme has been the main driver in rent supplement’s base decline. There are currently over 38,000 HAP tenancies in place of which c.9,900 (c.26%) are transfers from rent supplement.
Other contributory factors include the continuing improvement in the economy leading to fewer people seeking support due to retaining and securing long-term employment allied with more people exiting rent supplement through activation and securing job opportunities. The strategic goal is to transfer all long-term tenancies from rent supplement to HAP by 2020.
Details of rent supplement recipient numbers transferring to HAP as at December 2015 to mid July 2018 is provided in the attached tabular statement. In addition to the ongoing transfer of long-term rent supplement recipients to HAP, the majority of new applicants seeking State support towards their rent are being supported by the local authorities under HAP rather than rent supplement.
The rental accommodation scheme (RAS) also has continued its operations in the transfer of rent supplement customers. At the end of April 2018, local authorities had transferred a cumulative total of 60,935 households from rent supplement to RAS and other social housing supports.
I trust this clarifies the matter for the Deputy.
Tabular Statement:
Table 1: Rent Supplement: Recipient Numbers & Expenditure 2013 to June 2018
Year
|
Total Expenditure€000
|
Total Recipients
|
2013
|
372,909
|
79,788
|
2014
|
338,208
|
71,533
|
2015
|
311,059
|
61,247
|
2016
|
275,294
|
48,041
|
2017
|
231,221
|
34,378
|
6 Months to June 2018
|
94,442
|
28,978
|
Table 2: Rent Supplement: Recipient Numbers transferred to HAP
Year
|
Transferred from RS to HAP
|
2013
|
N/A
|
2014
|
N/A
|
2015
|
2,100
|
2016
|
3,943
|
2017
|
3,185
|
Mid July 2018
|
1,989
|