Dáil Éireann Debate, Wednesday - 19 January 2022
595. Deputy Alan Dillon asked the Minister for Housing, Local Government and Heritage the economic analysis that takes place in determining rent pressure zones; if his Department is monitoring the number of private landlords selling their properties in rent pressure zones; if so, the number in each of the past three years; and if he will make a statement on the matter. [2180/22]
View answerThe Planning and Development (Housing) and Residential Tenancies Act 2016 introduced the Rent Predictability Measure to moderate rent increases in those parts of the country where rents are highest and rising fastest. The Residential Tenancies (No. 2) Act 2021 introduced measures in July 2021 to extend the operation of Rent Pressure Zones (RPZs) until the end of 2024. The Act also provides that rent reviews outside of RPZs can, until 2025, occur no more frequently than bi-annually. This provides rent certainty for tenants outside of RPZs for a minimum 2 year period at a time.
Section 24A of the Residential Tenancies Acts 2004, as amended, provides that the Housing Agency, in consultation with housing authorities, may make a proposal to the Minister that an area should be considered as a Rent Pressure Zone. Following receipt of such a proposal, the Minister requests the Director of the Residential Tenancies Board (RTB) to conduct an assessment of the area to establish whether or not it meets the criteria for designation and to report to the Minister on whether the area should be designated as a Rent Pressure Zone (RPZ).
The criteria to be satisfied by an area under section 24A(4) of the Residential Tenancies Act for designation as an RPZ are as follows:
- the information relating to the area, as determined by reference to the information used to compile each RTB Rent Index quarterly report, shows that the annual rate of increase in the average amount of rent for that area is more than 7% in each of at least 4 of the 6 quarters preceding the period immediately prior to the date of the Housing Agency's proposal, and
- the average rent for the area in the last quarter, as determined by reference to the information used to compile each RTB Rent Index quarterly report, is –
- in the case of counties Kildare, Meath and Wicklow or an LEA in any one of those counties, above the average rent in the State, excluding rents in the 4 Dublin Local Authority areas, or
- in the case of any LEA outside of the Greater Dublin Area (i.e. Dublin, Kildare, Meath and Wicklow), above the average rent in the State, excluding rents in the Greater Dublin Area.
Each RTB quarterly Rent Index Report includes a table of the data used to establish whether each Local Electoral Area fulfils the criteria for designation as a Rent Pressure Zone. This ensures transparency in relation to the position of individual areas in terms of average rent levels and increases.
The Housing Agency and the RTB will continue to monitor national rents and if any LEA meets the designation criteria it will be designated as a RPZ.
With regard to the number of private landlords selling their properties in RPZs, my Department does not collect the data sought, however the Clerk of the Dáil requested that arrangements be put in place to facilitate the provision of information by State Bodies to members of the Oireachtas. Following the issue of Circular LG (P)05/16 on 20 September 2016 from my Department, the RTB set up a dedicated email address for this purpose. The RTB may be contacted at OireachtasMembersQueries@rtb.ie to establish the extent to which it may hold the information sought.
