Vol. 534 No. 2
28 Mr. McDowell asked the Minister for the Environment and Local Government the progress made to date in implementing the recommendations of the report on the private rented sector; and if he will make a statement on the matter. [10148/01]
Government proposals for major reforms in the private rented residential sector, announced on 5 January last, took on board the majority of the recommendations of the Commission on the Private Rented Residential Sector. As a first step in putting in place a new regime for the sector, preparations are currently under way for the establishment, initially on an ad hoc basis, by autumn 2001, of a private residential tenancies board to deal primarily with disputes between landlords and tenants. While the ad hoc board will not be able to compel landlords to register or to insist that all disputes are referred to it, landlords and tenants will, on a voluntary basis, be in a position to use its dispute resolution services pending the establishment of the board on a statutory basis. The board, in its ad hoc phase, should acquire sufficient experience to inform the process of establishing the statutory board. The interim board will be able to carry out the full range of functions in relation to policy research, providing advice on the sector, developing model leases and good practice guidelines and providing advice and information for landlords, tenants and the general public.
The drafting of legislation to provide a statutory basis for the establishment of the board and to give statutory effect to the commission's proposals on improved security of tenure, graduated notice to quit periods and rent aspects is under way. Landlord and tenant issues are subject to a highly complex and integrated legislative code which, at present, falls within the remit of the Department of Justice, Equality and Law Reform. In collaboration with that Department, my Department is committed to completing this legislative programme as quickly as possible. However, as the decision of the private rented tenancies board will be final and appealable to the courts only on a point of law, it is essential that the new legislation is comprehensive and legally watertight.
The issue of supply of private rented residential accommodation was an important element of the terms of reference of the commission. The Finance Act, 2001 which has recently been enacted gives statutory effect to a number of their recommendations on reforms to the tax code aimed at increasing supply. In addition to the reduction in the stamp duty rate for new residential investment properties, provision was also made for income tax relief on rental income in respect of refurbishment capital expenditure as well as interest payments in respect of certain qualifying properties together with rollover relief on capital gains tax in respect of qualifying reinvestment in the sector.
