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Tuesday, 26 Jul 2022

Written Answers Nos. 631-645

Housing Schemes

Questions (631)

Kathleen Funchion

Question:

631. Deputy Kathleen Funchion asked the Minister for Housing, Local Government and Heritage the rationale used to develop the first home buyer's scheme; the facts and figures that informed the policy; if inflation was taken into consideration; and if he will make a statement on the matter. [39848/22]

View answer

Written answers

The Affordable Housing Act 2021 established the basis for a range of new affordable housing measures, including Local Authority Affordable Purchase, the First Home Scheme, the Cost Rental tenure, and the expansion of the Part V planning requirement. Taken together, these measures deliver on the Programme for Government commitment to put affordability at the heart of the housing system and prioritise the increased supply of affordable homes.

The Government's Housing for All strategy commits to the delivery of 54,000 new affordable homes in the period out to 2030, of which 36,000 will be for affordable purchase, and 18,000 will be for Cost Rental. Both of the two new Affordable Purchase schemes under Housing For All - Local Authority Affordable Purchase and the First Home Scheme - support households that, because of current income levels, are unable to secure a mortgage to meet the cost of purchasing a newly constructed home.

The First Home Scheme, launched on 7 July 2022, supports first-time buyers in purchasing new-build homes in private developments through an equity share model, similar to that employed in Local Authority Affordable Purchase. The equity share will 'bridge the gap' between the financial means available to the purchaser, comprising mortgage and deposit, and the cost of a new home within a set regional price ceiling. The scheme is being operated by a dedicated body, the First Home Scheme Ireland Designated Activity Company. Full details of the scheme are available on the website at: firsthomescheme.ie.

The rationale behind the First Home Scheme is primarily two-fold: (1) to help hard-pressed first-time buyers achieve the stability and security of home ownership at price points they can afford, and (2) to encourage increased housing supply by addressing concerns about the economic viability of developing suitable homes for first-time buyers, particularly in urban centres.

In considering the approach to be taken in relation to price ceilings my Department reviewed the approach taken by comparable schemes in other countries. This included for example the design and implementation of the ‘Help to Buy’ shared equity scheme in England and Wales. In addition, my Department has engaged with other Government Departments, particularly the Department of Finance, with State agencies such as the Housing Agency, with the banking sector via the Banking and Payments Federation of Ireland, and with the European Commission.

In order to minimise any inflationary pressures, whilst at the same time providing for the development of new build homes, the First Home Scheme utilises regional price ceilings set with reference to the median prices paid by first-time buyers for new homes in each local authority area. This ensures that the Scheme is targeted at purchases in the lower part of the price distribution of the first-time buyer market, delivering support where it is needed most. The setting of the initial price ceilings has been informed primarily by an analysis of published CSO data, specifically the Residential Property Price Index. This process also included a review of current market data including the sales prices for new homes on the market. Full details of the price ceilings for the Scheme are available on the First Home website.

The First Home Scheme Ireland DAC is now responsible for the review and updating of these price ceilings. First Home has confirmed that a review of ceilings will be undertaken after 6 months and periodically thereafter. This is to ensure that the ceilings allow the Scheme to deliver on its underlying objectives, taking account of any relevant changes in market conditions.

Housing Schemes

Questions (632)

Cathal Crowe

Question:

632. Deputy Cathal Crowe asked the Minister for Housing, Local Government and Heritage if it is his intention to amend any of the existing housing schemes to include second-hand homes to help those who are unable to afford new-build homes; and if not, if a dedicated scheme to this effect will be announced. [39858/22]

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Written answers

The Government's Housing for All strategy commits to the delivery of 36,000 new Affordable Purchase homes and 18,000 new Cost Rental homes by 2030. Both of the two new Affordable Purchase schemes (Local Authority Affordable Purchase, and the First Home Scheme) support households that, because of current income levels, are unable to secure a mortgage to meet the costs of purchasing a newly constructed home.

The Local Authority Affordable Purchase Scheme assists first-time buyers purchasing Local Authority-delivered homes by bridging the gap between the market value of the home, and the combined value of the buyer's mortgage and deposit. Subject to a minimum price set for each home made available under the scheme, buyers will generally pay a price according to their mortgage-funded purchasing power, with the difference between this and the market value of the home held as a percentage equity stake of up to 40% by the Local Authority.

Current examples of Affordable Purchase delivery under this scheme are:

- South Dublin County Council is making 16 three-bed homes available at Kilcarbery Grange at prices from €245,600.

- Cork City Council will soon deliver homes in Boherboy at initial prices from €218,000 for a 2-bedroom and €243,000 for a 3-bedroom dwelling.

- Fingal County Council will shortly deliver 2-bed apartments at an indicated price of €166,000, with 3-bed dwellings being made for between €206,000 and €258,000, some 20% below market norms.

The new First Home Scheme use a similar equity share model to the Local Authority-led scheme, though it applies to new homes purchased through the private market. The First Home Scheme was launched on 7 July 2022, with full details available at firsthomescheme.ie.

Both of these schemes are focused on new homes because they are designed to contribute towards the increase of housing supply in general, and of suitable homes for first-time buyers in particular. It is only by increasing the number of new homes that the current under-supply in the market can be addressed.

An option already available to support the purchase of second-hand homes is the Local Authority Home Loan. This was introduced under Housing for All as a successor to the Rebuilding Ireland Home Loan. The new Local Authority Home Loan launched on 4 January 2022 and has a lower interest rate and higher income eligibility than previously applied. The Local Authority Home Loan supports first-time buyers purchasing new or second-hand homes, as well as funding self-builds. More details on the Local Authority Home Loan scheme are available at: localauthorityhomeloan.ie/

In addition, the new Croí Cónaithe (Towns) Fund was launched on 14 July 2022 and make grants of up to €30,000 for the refurbishment of vacant properties in towns and villages across Ireland for occupation as a principal private residence. This includes the conversion of properties which have not previously been used as residences. Where the refurbishment costs are expected to exceed the standard grant, additional funding of up to €20,000 may be available when the property is confirmed to be derelict. Full details of the scheme, including the application form, are available at: gov.ie/en/publication/c2183-croi-conaithe-towns-fund/#application-form

Question No. 633 answered with Question No. 618.

Planning Issues

Questions (634, 635, 636)

Cian O'Callaghan

Question:

634. Deputy Cian O'Callaghan asked the Minister for Housing, Local Government and Heritage the number of planning applications in the cities of Cork, Dublin, Galway and Limerick, respectively, from June 2015 to June 2022, inclusive, to the respective local authorities' planning department, requesting the change of use of a property in order that it can be used for short-term letting; and if he will make a statement on the matter. [39919/22]

View answer

Cian O'Callaghan

Question:

635. Deputy Cian O'Callaghan asked the Minister for Housing, Local Government and Heritage the number of planning applications approved in the cities of Cork, Dublin, Galway and Limerick, respectively, from June 2015 to June 2022, inclusive, to the respective local authorities' planning department, requesting the change of use of a property in order that it can be used for short-term letting; and if he will make a statement on the matter. [39920/22]

View answer

Cian O'Callaghan

Question:

636. Deputy Cian O'Callaghan asked the Minister for Housing, Local Government and Heritage the number of planning applications declined in the cities of Cork, Dublin, Galway and Limerick, respectively, from June 2015 to June 2022, inclusive, to the respective local authorities' planning department, requesting the change of use of a property in order that it can be used for short-term letting; and if he will make a statement on the matter. [39921/22]

View answer

Written answers

I propose to take Questions Nos. 634 to 636, inclusive, together.

Legislative reforms to regulate the short-term letting sector through the planning code, in areas designated as “rent pressure zones” (RPZs), were introduced under the Planning and Development Act 2000 (Exempted Development) (No. 2) Regulations 2019 which came into effect on 1 July 2019.

The information requested in relation to the number of planning applications for change of use to short term letting is provided in the table below. My Department does not hold information in this regard prior to the introduction of the 2019 regulations.

No of STL Change of Use Planning Applications received - Total

No of STL Change of Use Planning Permission Granted

No of STL Change of Use Planning Applications Refused

Planning Authority

2019

2020

2021

Q1 2022

2019

2020

2021

Q1 2022

2019

2020

2021

Q1 2022

Cork City

1

3

3

0

1

0

0

0

0

1

2

1

Dublin City

17

7

2

0

1

4

0

0

10

2

1

0

Galway City

5

0

0

0

1

0

0

0

3

0

0

0

Limerick

0

0

0

0

0

0

0

0

0

0

0

0

Total

23

10

5

0

3

4

0

0

13

3

3

1

Further to a review of the current provisions as operated by local authorities under the planning code, the Government has already agreed a specific action in Housing for All (action 20.4) to “develop new regulatory controls requiring short-term and holiday lets to register with Fáilte Ireland with a view to ensuring that houses are used to best effect in areas of housing need”.

I have engaged with the Minister for Tourism, Culture, Arts, Gaeltacht, Sports and Media to progress this action and ongoing collaboration on the legislation and related matters is taking place between officials of our respective Departments and Fáilte Ireland.

Funding was allocated in Budget 2022 to Fáilte Ireland which has been tasked with the design and implementation of a new short-term lettings registration system. The agency is currently recruiting staff to work on this project, with the project lead in place since March 2022. The Department of Tourism, Culture, Arts, Gaeltacht, Sport and Media is presently scoping out the legislative provisions that will be required to robustly underpin the new registration system with a view to these provisions being enacted in 2022. The online registration system is being developed, as are the necessary processes and procedures to ensure, once launched, that the register is comprehensive, accurate and up to date.

In addition new arrangements in relation to short-term letting, aimed at strengthening the pre-existing regulatory controls in this area were proposed by the Planning and Development (Amendment) (No.2) Bill 2022. When commenced the new arrangements will provide that, for a period of six months, non-principal private residences in Rent Pressure Zones shall not be advertised or accept bookings on online platforms or other media for short term letting purposes without the necessary planning permission being in place in respect of the property concerned or the property concerned being otherwise exempted. Pending the establishment and commencement of operations of the new short-term letting registration system to be operated by Fáilte Ireland, the six month period referred to may be extended for further 6 month periods subject to positive resolutions by both Houses of the Oireachtas.

Question No. 635 answered with Question No. 634.
Question No. 636 answered with Question No. 634.

Housing Policy

Questions (637)

Niall Collins

Question:

637. Deputy Niall Collins asked the Minister for Housing, Local Government and Heritage if a response will issue to matters raised in correspondence (details supplied); and if he will make a statement on the matter. [39929/22]

View answer

Written answers

Housing for All (September 2021) is the Government’s plan to increase the supply of homes to an average of 33,000 per year over the next decade. Over 300,000 new homes will be built by the end of 2030, including a projected 90,000 social homes, 36,000 affordable purchase homes and 18,000 cost rental homes. The Plan is backed by historic levels of investment with in excess of €20bn through the Exchequer, the Land Development Agency (LDA) and the Housing Finance Agency over the next 5 years. This will provide the sector with the stability and certainty it needs.

The Government does not underestimate the scale of the challenge. We effectively need to double output in the next five years compared to the last five. That is why a whole-of-Government approach has been adopted in order to achieve the aims of this Plan to 2030, which is being delivered in partnership and collaboration with other State bodies, the private sector and the community and voluntary sector.

Housing for All sets out four pathways to a better housing system that draws this comprehensive approach together:

- supporting homeownership and increasing affordability;

- eradicating homelessness, increasing social housing delivery and supporting inclusion;

- increasing new housing supply; and

- addressing vacancy and efficient use of existing stock.

These pathways are underpinned by long-term actions to address systemic challenges. It aims to create a housing system which has environmental, social and economic sustainability at its heart and which meets the needs of all.

Increasing housing supply is at the core of Housing for All. Indications of increased construction activity are becoming evident which will help increase the availability of homes across all tenures.

This year, the target under Housing for All is 24,600 new homes. In the 12 months to the end of March 2022, a total of 22,219 new homes were completed. In the past twelve months (July 2021 to June 2022), Commencement Notices for the construction of 29,343 new homes were received. On a rolling 12 month basis, the total number of commencements received is 7.6% higher than previous 12-month period of July 2020 to June 2021 (27,264). In addition, latest CSO figures show planning permissions for all residential dwellings are up 22.7% in the year ending Q1 2022 (44,491) when compared to the same time period to Q1 2021 (36,252). Together, the figures point to a substantial uplift in new housing supply in the coming years, as we increase output to average of at least 33,000 new homes per year. This increase in supply will be key to meeting demand, moderating price inflation, and addressing affordability for those wishing to rent or buy their own home.

In terms of the yearly targets, Housing for All aims to build capacity to reach an average of 33,000 homes over the lifetime of the plan. While the projection for this year is 24,600 new homes, this projection increases year on year and the target for 2023 is 29,000 homes. In 2024 the projection rises to 33,450 homes, with the target for 2025 being 34,600 new homes delivered. This rises to 40,500 in 2030. The projections are designed to scale up year after year as the construction industry expands and productivity increases.

Increasing productivity in the construction industry is crucial to ensuring the increasing projections are met and sufficient homes are built. Housing for All commits that the Government and relevant State agencies will advance methods to reduce residential construction costs, particularly the cost of apartment construction, by increasing the focus of existing and planned construction related initiatives on the residential construction sector, and by ensuring a coordinated, whole-of-Government approach to residential construction.

There are also positive developments in relation to construction sector employment and the capacity of the sector to deliver the number of homes required. The Q1 2022 Labour Force Survey data, compiled by the CSO, shows that there are 159,300 employed in the sector, an increase of 36,800 compared to Q1 2021.

Affordability, for those wishing to rent or buy, is at the heart of Housing for All.

2022 represents the first year of a very ambitious programme of delivery of affordable housing. Significant funding has been secured and is being made available by Government to support delivery of affordable housing for purchase or for cost rental by local authorities, Approved Housing Bodies and by the LDA.

In addition, the First Home Scheme, launched on 7 July, supports first-time buyers in purchasing new houses and apartments in the private market through the use of an equity share model, similar to that employed in the Local Authority Affordable Purchase Scheme. The Scheme is designed to assist first-time buyers in meeting the higher costs of newly constructed homes and, in doing so, will increase the volume of new homes being developed. The Scheme aims to support in the region of 8,000 households in acquiring new homes in the private market in the years 2022 to 2026 with an overall budget of €400 million. Further information on the First Home Scheme can be accessed here: firsthomescheme.ie/

Additional affordable housing delivery will be facilitated under the provisions of the expanded 20% Part V requirement as and when they arise, and subject to the planning process.

Other measures, such as the Help to Buy Scheme and the Local Authority Home Loan are also available to eligible purchasers nationally to make home ownership more affordable.

Whilst Housing for All commits to an increase in social housing delivery, including an average of 9,500 new-builds per year, there has been significant progress in recent years. The total provision of social housing has increased from 3,979 homes delivered in 2010 to 9,183 homes delivered in 2021. This increased delivery has been made possible by increased Government investment. Total expenditure on new-builds, acquisition and leasing has increased from €462.1 million in 2016 to €1.69 billion in 2021. During the corresponding period, the social housing waiting list declined from 91,600 in 2016 to 59,247 in 2021, a substantial reduction of 35.3%. For five years in a row the overall number of households on local authority waiting lists has decreased.

My Department published the Quarter 1 2022 Social Housing Construction Status Report (CSR) which shows that at the end of Quarter 1 2022, 8,776 social homes were under construction, with an additional 11,551 homes at design and tender stage. In Quarter 1 2022, 109 new construction schemes, (1,733 homes) were added to the pipeline. The report is available at the following link: gov.ie/en/publication/6912a-social-housing-construction-projects-status-report-q1-2022/

Increasing the supply of housing, and delivering on our commitments in Housing for All, is the top priority for me and the Government and we have made a good start on our path towards this goal. Importantly, a comprehensive implementation and reporting framework is well established to assess how the actions under the Plan are progressing. These structures include political oversight, via the Cabinet Sub-Committee on Housing, the Housing for All Secretary General Delivery Group, and dedicated Workstreams, all of which monitor delivery of the Plan and recommend any adjustments to priorities, as required, on an ongoing basis.

Progress reports are published on a quarterly basis. The fourth of these reports, covering progress in Q2 2022 was published on 14 July. These reports can be accessed here: gov.ie/en/collection/9d2ee-housing-for-all-quarterly-progress-reports/

Defective Building Materials

Questions (638)

Joe McHugh

Question:

638. Deputy Joe McHugh asked the Minister for Housing, Local Government and Heritage when apartments will be included in the Defective Concrete Blocks Bill 2022; and if he will make a statement on the matter. [39941/22]

View answer

Written answers

Following on from the Government decision of the 30 November 2021 in respect of the enhanced defective concrete blocks grant scheme, the Government approved the Remediation of Dwellings Damaged by the Use of Defective Concrete Blocks Bill 2022 on 21 June and the Bill passed through both Houses of the Oireachtas and was subsequently signed into law by the President. I have progressed this legislation to ensure that we can have the scheme ready for homeowners to access by the end of the year.

The purpose of this Act is to implement and give legislative underpinning to a series of measures to improve and enhance the scheme as agreed by Government on 30 November 2021. Full details can be found at www.gov.ie/en/press-release/328d7-minister-obrien-welcomes-progress-on-enhanced-defective-concrete-blocks-grant-scheme/.

The issue of residential units within multi unit developments which are impacted by defective concrete blocks is challenging in the context of the scheme given there is often mixed use involving residential and commercial units, the need to remediate a multi-unit development as one and the complex ownership issues involving common areas and Owner Management Companies (OMC).

The Expert Group on the Enhanced Defective Concrete Blocks Scheme flagged that multi unit developments may also contain latent defects, and prior to proceeding with the remediation of defective concrete blockwork within such developments, any report in respect of the latent defects issue should be taken into account, as a holistic approach and one time solution would appear to be the best approach.

The working group I established to examine fire safety, structural safety and water ingress defects in purpose built apartment buildings, including duplexes, constructed between 1991 and 2013 is close to finalising its report and I expect to receive it shortly. Once I receive the report I will give full consideration to its contents.

Having considered the issues outlined above, multi unit developments have not been included within the defective concrete blocks grant scheme at this time. Complex issues remain to be resolved to facilitate their inclusion, which it is expected will be worked out in consultation between officials from my Department and the Office of the Attorney General.

Departmental Advertising

Questions (639)

Peadar Tóibín

Question:

639. Deputy Peadar Tóibín asked the Minister for Housing, Local Government and Heritage the amount spent on traditional and online advertising by his Department in each of the past ten years and to date in 2022, in tabular form. [39958/22]

View answer

Written answers

The information requested by the Deputy is currently being compiled and will be forwarded in accordance with Standing Orders.

The following deferred reply was received under Standing Order 51
Press and public relations functions are generally undertaken by my Department's Press Office and my Department undertakes public information campaigns where there is important information to be brought to the public’s attention. The advertising campaigns generally comprise traditional advertising methods including TV, radio, online and print as well as social media.
Out of the figures below, significant expenditure was incurred by the Franchise Unit of my Department. This was for public information campaigns on electoral issues such as the annual Register of Electors Awareness campaign, the modernisation of the Electoral Register project and information for, and connected with, electors with a physical disability.
In addition, my Department’s National Directorate for Fire and Emergency Management also incurred expenditure on a suite of important public health and safety campaigns such as National Fire Safety Week.
Details of the expenditure by my Department on various public relations, promotions and advertising activities since 1 January 2012 to date are set out in the following table.

Year

Total

2012

€683,153

2013

€514,028

2014

€559,844

2015

€461,408

2016

€456,753

2017

€485,425

2018

€381,302

2019

€476,495

2020

€391,790

2021

€641,552

2022 (to date)

€243,206

Departmental Contracts

Questions (640)

Peadar Tóibín

Question:

640. Deputy Peadar Tóibín asked the Minister for Housing, Local Government and Heritage if his Department has spent money or sought external assistance with departmental and ministerial public relations; and if so, the cost; and the name of the agencies, consultants and companies involved in each of the past ten years and to date in 2022, in tabular form. [39976/22]

View answer

Written answers

Public (or external) relations functions are generally undertaken by my Department's Press Office and Communications Unit. The engagement of external expertise is only considered where the issues involved require expert skills or capabilities that are not readily available within my Department. However, my Department has not incurred expenditure in this area over the past ten years.

Departmental Legal Cases

Questions (641)

Peadar Tóibín

Question:

641. Deputy Peadar Tóibín asked the Minister for Housing, Local Government and Heritage the number of legal cases brought against his Department in each of the past ten years and to date in 2022; and if he will make a statement on the matter. [39994/22]

View answer

Written answers

The information requested is being compiled and will be forwarded to the Deputy in accordance with Standing Orders.

The following deferred reply was received under Standing Order 51
My Department has a broad remit covering a range of responsibilities including Housing, Water, Planning, Heritage and Local Government in addition to the functions provided by Met Éireann. From the records available to me, a breakdown by year of the cases brought against my Department since January 2012 is provided in the table below. Case numbers may differ slightly from previous reports due to claim reclassifications in the intervening period.
These cases/files cover a range of litigation matters, including judicial review proceedings, personal injury claims, employment law matters and constitutional challenges. The figures reflect cases where my Department is a named party.

Year

No. of Cases

2012

15

2013

35

2014

18

2015

21

2016

13

2017

21

2018

28

2019

19

2020

40

2021

31

2022 to date

14

Total

255

A further three cases (which would bring the total to 258) have no clear commencement date but likely fall within the 2012-2013 period of the question.

Departmental Legal Services

Questions (642)

Peadar Tóibín

Question:

642. Deputy Peadar Tóibín asked the Minister for Housing, Local Government and Heritage the amount spent by his Department on legal costs or legal services in each of the past ten years and to date in 2022, in tabular form. [40012/22]

View answer

Written answers

My Department seeks, where possible, to minimise legal costs and avails of the services of the Chief State Solicitor's Office, the Attorney General's Office and the State Claims Agency in terms of the provision of legal advice and representation of the Department in Court cases.

The below table sets out details in relation to external legal services provided directly to my Department by legal firms from 2012 to 2022 (to date). The table does not include costs associated with the Planning Tribunal.

Legal Fees 2012-2022

Year

Total (€)

2022

€11,847

2021

€91,262

2020

€546,789

2019

€488,864

2018

€397,656

2017

€224,265

2016

€22,407

2015

€20,767

2014

€42,032

2013

€87,882

2012

€69,314

Departmental Expenditure

Questions (643)

Peadar Tóibín

Question:

643. Deputy Peadar Tóibín asked the Minister for Housing, Local Government and Heritage the amount spent by his Department on the procurement of office space and furniture and office IT equipment in each of the past ten years and to date in 2022. [40030/22]

View answer

Written answers

My Department has spent the following on procurement of office space, furniture and office IT equipment from 2011 to 19th July 2022:

Year

Amount Spent

2011

€231,085.72

2012

€564,173.89

2013

€317,012.59

2014

€291,501.37

2015

€794,441.37

2016

€408,861.03

2017

€375,346.03

2018

€879,749.47

2019

€739,360.52

2020

€1,473,499.55

2021

€2,209,068.91

2022 (19/07/2022)

€620,160.38

TOTAL

€8,904,260.83

Official Travel

Questions (644)

Peadar Tóibín

Question:

644. Deputy Peadar Tóibín asked the Minister for Housing, Local Government and Heritage the number of times that he embarked on visits to foreign countries on behalf of the State since the formation of the Government; the geographical location of each visit; the number of days that he spent abroad on such trips; the dates upon which each trip took place; and the associated travel and accommodation costs which were incurred by his Department in relation to each trip in tabular form. [40048/22]

View answer

Written answers

The Deputy will be aware that foreign travel on behalf of the State is a fundamental aspect of Government duties. As part of those duties and since the formation of Government, I have travelled on five (5) occasions:

Outward

Return

Destination

Days

No of delegates including Minister

Associated Travel and Accommodation costs

08/02/2022

09/02/2022

Brussels

1

4

€2,629.90

27/02/2022

28/02/2022

Paris

1

5

€3,656.00

06/03/2022

08/03/2022

Nice

2

6

€6,758.27

12/03/2022

19/03/2022

Abu Dhabi/Dubai

7

3

€5,010.89*

14/06/2022

16/06/2022

Helsinki

2

3

€1,525.96**

* Reflects costs so far - Waiting on additional details from the Department of Foreign Affairs who paid for the service.

** Reflects costs so far - Waiting on details from Embassy who paid for the service.

Housing Policy

Questions (645)

Paul Murphy

Question:

645. Deputy Paul Murphy asked the Minister for Housing, Local Government and Heritage if his attention has been drawn to the fact that those on a social welfare income are being refused homeless HAP due to the assumption that they will not be able to cover the extra rent that would be needed to obtain a place in Dublin and be able to pay for other necessities for example, heating bills, electricity or food; if his attention has been drawn to the fact that persons are being made homeless as a direct result of this policy (details supplied); the way that he plans to resolve this issue; and if he will make a statement on the matter. [40082/22]

View answer

Written answers

The Housing Assistance Payment (HAP) is a form of social housing support for people who have a long-term housing need. In order for a household to qualify for HAP, they must first be assessed as eligible for social housing support by their local authority. Any household assessed as eligible for social housing is immediately eligible for HAP and those households must source their own accommodation in the private rental sector. The accommodation sourced by tenants should be within the prescribed maximum HAP rent limits, which are based on household size and the rental market within the area concerned.

My Department is aware that some HAP recipients are making payments directly to their landlords, beyond the amount of HAP being paid on their behalf. While there is no legislative provision precluding HAP supported households contributing towards the monthly rent required by the landlord, local authorities have a responsibility to ensure that tenancies are sustainable and that households in HAP are in a position to meet the rental costs involved.

The Programme for Government commits to ensuring that HAP levels are adequate to support vulnerable households, while the supply of social housing increases.

Under Housing for All, the Department was tasked with undertaking an analytical exercise to examine whether an increase in the level of discretion available to Local Authorities under HAP is required. The Housing Agency undertook to carry out this analytical exercise on behalf of the Department to better understand what level of discretion should be made available to Local Authorities under HAP to maintain adequate levels of support.

Following receipt and analysis of this review, I, in cooperation with Government colleagues and the Department of Public Expenditure and Reform, have now approved an increase in the HAP discretion rate from 20% to 35% and for new tenancies to extend the couple’s rate to single person households. This will secure more tenancies and prevent new entries to homelessness. Both these measures came into effect from 11 July 2022.

Each local authority now has statutory discretion to agree to a HAP payment up to 35% above the prescribed maximum rent limit to secure appropriate accommodation for a household that requires it, or up to 50% in the case of homeless households in the Dublin region.

A separate review of the discretion available to Homeless HAP tenancies in Dublin, which is up to 50% above the prescribed maximum rent limits, is currently being undertaken by my Department, in conjunction with the Housing Agency.

It is a matter for the local authority to determine, on a case by case basis, whether, and to what extent, the application of the flexibility is warranted although it should be noted that local authorities have a responsibility to ensure that tenancies are sustainable.

I am committed to decreasing our reliance on the HAP scheme and we will only do that through significantly scaling up our social housing supply. ‘Housing for all’ sets us on a pathway to delivering 90,000 social homes between now and the end of 2030 including 9,000 this year.

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