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Rental Sector

Dáil Éireann Debate, Wednesday - 17 May 2023

Wednesday, 17 May 2023

Questions (120)

Martin Browne

Question:

120. Deputy Martin Browne asked the Minister for Housing, Local Government and Heritage the measures he intends to introduce to support tenants facing unsustainable rent increases, given that in one case in Tipperary, a tenant has been informed by their landlord that they intend to raise the rent by €400 per month. [23360/23]

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Written answers

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 designation of all existing RPZs has also been extended until 31 December 2024. The Act provides that rent reviews outside of RPZs can, until 2025, occur no more frequently than biannually. This provides rent certainty for tenants outside of RPZs for a minimum 2 year period at a time.

The Act also introduced measures to better protect tenants with affordability by prohibiting any necessary rent increase in a RPZ from exceeding general inflation, as recorded by the Harmonised Index of Consumer Prices (HICP).

To address the rent affordability challenges building on foot of the unexpectedly fast rising inflation rate, as recorded by HICP , the Residential Tenancies (Amendment) Act 2021 provides, from 11 December 2021, a cap of 2% per annum pro rata on rent increases in RPZs, where the inflation rate is higher. In effect, this will mean that rents in RPZs may only increase by a maximum of 2% per annum pro rata during times of higher inflation.

In all cases, section 19(1) of the Residential Tenancies Acts 2004-2022 prohibits the setting of a rent that exceeds market rent. Where a tenant is unsure as to the validity of a Notice of Rent Review served, he or she may refer the matter to the RTB for dispute resolution under Part 6 of the Acts, with redress available to the tenant and may include a direction to pay a refund of any unlawful rent amount paid and an amount of damages.

The Government’s Housing for All plan is focused on tackling supply and affordability issues in the rental market. The plan contains targets, actions and guaranteed State investment in housing aimed at increasing supply, which in turn will help increase access to affordable rental housing. Budget 2023 allocates €4.5 billion of funding to continue the vital work in progress under Housing for All and supports extra supply coming on stream.

Tenants having difficulty paying their rent should engage with their landlords but should also engage with the Money Advice and Budgeting Service (MABS) and the Department of Social Protection as income supports, such as Rent Supplement, are available to assist them. Information on supports can be found the Department of Social Protection's website at:

www.gov.ie/en/organisation/department-of-social-protection/.

Any HAP tenant having difficulty meeting their legal obligation to pay rent can contact their local authority to assess any further assistance that might be available.

The national housing charity, Threshold, operates the Tenancy Protection Service (TPS) which is a national service supported by Government, providing advice and support to households living in private rented accommodation who are experiencing tenancy problems, including where a tenancy is at risk of termination. The TPS seeks to protect existing tenancies and keep tenants in their homes. The Tenancy Protection Service (TPS) helpline on free-phone 1800 454 454 – available from Monday to Friday, 9am to 9pm. Further information is also available at www.threshold.ie.

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