Dáil Éireann Debate, Wednesday - 10 October 2007
99 Deputy Kieran O’Donnell asked the Minister for the Environment, Heritage and Local Government if and when he will limit rent increase to a 5% increase above inflation; and if he will make a statement on the matter. [22750/07]
Amharc ar fhreagraThe Residential Tenancies Act, 2004 provides that rents in the private rented sector cannot be set at greater than the open market rate and that rent reviews cannot, in the normal course, occur more frequently than once a year. Any tenant who considers that the rent sought exceeds the market rate can refer the issue to the Private Residential Tenancies Board (PRTB) for resolution. It is a function of the PRTB to review the operation of the relevant legislation, particularly the provisions relating to rent, and to make recommendations regarding any amendments considered necessary. There are no proposals currently to amend the provisions relating to rent levels.
It is important to note also that, in certain circumstances, a provision allowing rent increases up to 5% above inflation, as suggested by the Deputy, could result in tenants being subject to increases in rents greater than underlying market levels. Indeed, looking at the average increases over the most recent 5 year period, the regime proposed by the Deputy would have permitted rent increases significantly beyond those actually recorded.
