Vol. 531 No. 2
2 Mr. Gilmore asked the Minister for the Environment and Local Government when he will announce the membership and terms of reference for the proposed private rented tenancies board; the protections he will provide for tenants in the promised legislation; the reason the introduction of this legislation is delayed until mid 2002; and if he will make a statement on the matter. [5261/01]
The establishment of a private residential tenancies board was one of the recommendations of the Commission on the Private Rented Residential Sector and the board will be established on an ad-hoc basis by this autumn.
New legislation will be needed to establish the board on a statutory basis. The proposed legislation will also grant to a tenant, whose tenancy has not been terminated in the first six months, a right to continue in occupation for the remainder of a four year period, unless the landlord needs to recover possession for specified reasons. Revised notice to quit requirements will range from a minimum of four weeks – 28 days – to a maximum of 16 weeks – 112 days – in each four-year period.
The legislation will provide that rents may be no greater than the market rate and reviews may occur no more frequently than once a year, unless there is a substantial change to the nature of the accommodation before the review date.
Drafting of the legislation is a complex task involving detailed and ongoing collaboration between two Government Departments, a highly complex and integrated legislative code, involving the amendment, in respect of residential tenancies, of many of the provisions in existing landlord and tenant acts going back to the 1860 legislation; detailed consideration of court judgments and legal precedents in a highly complex area, distinguishing between the impacts on the residential and commercial rented sectors and setting up a completely separate code for the rented residential sector.
This task will be undertaken by my Department in collaboration with the Department of Justice, Equality and Law Reform which has responsibility for the landlord and tenant legislative code. We are committed to completing this work as quickly as possible, but at this stage I consider the two-year time frame a realistic one in the light of the complexity and detail of the legislation required and the normal time requirement for the passage of legislation through the Oireachtas.
Can the Minister explain why the measures recommended by the Commission on the Private Rented Sector in respect of tax relief and concessions for landlords and the permanent reduction in capital gains tax for the owners of development land are being implemented immediately in the Finance Bill, while the unfortunate tenants have to wait two years to get their rights in legislation? The Minister also proposes establishing a private rented tenancies board on a non-statutory basis. As this does not require immediate legislation, why is he waiting until autumn to do it? Why can it not be done immediately, especially since the report has been with the Minister since last July?
The extensive and complex legislation that needs to be put in place to change the landlord and tenant code cannot be produced immediately.
The Minister has taken two years to produce it and he has had the report since July.
The report has been considered and the Government has—
If tenants were making corporate donations to Fianna Fáil, they would not have to wait two years.
Please allow the Minister to reply.
It is a wrong assumption on the part of the Deputy to suggest the legislation will only benefit the tenant. It will benefit landlords as well. It is a balanced report which was the result of a year's intensive consideration by a highly professional and representative group—
The Minister should answer the question.
—of people representing both the landlords' and the tenants' perspectives.
He is trying to talk out the time.
Suggesting that I am stalling this in some way for two years—
The Minister is stalling.
—is a bit of a joke when one considers that this is the first time in decades fundamental legislation to deal with the problems of tenants is being brought before the House. The Deputy's party does not have a good record in this regard, having been in a position to do something positive about it in the past. When we are legislating, we must ensure it is done in a way that will withstand challenges in the courts. I am satisfied that every effort will be made by the officials and the parliamentary draftsman to bring this legislation forward in a comprehensive manner as quickly as possible. There will not be any undue delay.
There will be no rental sector left.
The Minister correctly pointed out that the report of the commission on the private rented sector was a package. Can he explain why the part of the package that benefits landlords is being implemented now but the part that benefits tenants will not be implemented for two years? Why is he separating the two? Why is it not being implemented as a package? Landlords will get their tax relief now but tenants will have to wait for two years.
I had a meeting with representa tives of both tenants and landlords. The landlords are not at all happy with what has been proposed so far.
Does the Minister appreciate how serious the situation is for tenants in private rented accommodation? Does he appreciate the extent to which rents have shot up or the number of evictions taking place? Does he realise the agony and misery being suffered by tenants who have no rights at present? They will now have to wait until this Minister and Government are out of office. The Minister is effectively saying the Government will not do it.
What I am fully aware of is the absolute and utter hypocrisy of the Labour Party on this issue. It seeks to make political capital—
It is about time somebody made political capital out of it—
Time is almost up on this question.
—out of the plight of people who are not yet adequately housed. Bearing in mind the track record of the Labour Party in this area—
People were housed when we were in Government; they could afford a house.
—to seek to create the wrong impression through that type of political hypocrisy is something I despise.
We must proceed to the next question.
It is the lowest form of politics.
The Minister is doing nothing for the tenants.
I have taken action in the interests of the tenants. They are an extremely vulnerable group in our community for whom I, my party and my colleagues in Government are most concerned.
