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Private Residential Tenancies Board Remit

Dáil Éireann Debate, Thursday - 26 March 2015

Thursday, 26 March 2015

Ceisteanna (235)

Joe Costello

Ceist:

235. Deputy Joe Costello asked the Minister for the Environment, Community and Local Government his plans to introduce legislation to provide certainty and security in the residential rental market; and if he will make a statement on the matter. [12379/15]

Amharc ar fhreagra

Freagraí scríofa

The Residential Tenancies Act 2004 regulates the landlord-tenant relationship in the sector and sets out the rights and obligations of landlords and tenants including in relation to rent, security of tenure and the termination of tenancies. The Private Residential Tenancies Board (PRTB) was established as an independent statutory body under the Act to operate a national tenancy registration system and to resolve disputes between landlords and tenants.

The Residential Tenancies (Amendment)(No. 2) Bill 2012 is currently before the Oireachtas and will amend the Residential Tenancies Act 2004 to provide, inter alia, for:

- the inclusion of the Approved Housing Body (AHB) sector within the remit of the Residential Tenancies Act 2004;

- the introduction of a new procedure to deal with non-payment of rent;

- the introduction of a tenancy deposit protection scheme.

Security of tenure under the 2004 Act is based on rolling four-year tenancy cycles. Where a tenant has been in occupation of a dwelling for a continuous period of 6 months and no notice of termination has been served in respect of that tenancy before the expiry of the period of 6 months, the tenancy is established for the remainder of the four year period. This is referred to in the Act as a 'Part 4' tenancy. Landlords and tenants may not contract out of any of the provisions of Part 4 of the Residential Tenancies Act and no lease, tenancy agreement, contract or other agreement may operate to vary or modify the provisions of Part 4 of the Act.

Where a Part 4 tenancy lasts for four years without a notice of termination being served by the landlord or the tenant, a further Part 4 tenancy comes into being and this will continue on at the expiration of each further four year period unless the tenancy is validly terminated by either the landlord or the tenant on one of the grounds under the Act. A landlord may not serve a notice of termination except in very clearly defined circumstances such as a failure by the tenant to comply with his or her obligations in relation to the tenancy.

The main cause of rising rents is a lack of supply in the market and the implementation of the range of actions under the Government's Construction 2020 Strategy will support increased housing supply. New house completions in 2014 amounted to 11,016 units nationally, up 33% on the 2013 figure. In the third quarter of 2014, planning permissions were granted for 2,144 dwellings, compared with 1,409 units for the same period in 2013 - an increase of 52%.

The Government's Social Housing Strategy 2020 sets out clear, measurable actions and targets to increase the supply of social housing, reform delivery arrangements and meet the housing needs of all households on the housing list. The total targeted provision under the Social Housing Strategy of 110,000 social housing units includes the delivery of 35,000 units and a further 75,000 solutions through the HAP and RAS schemes.

At the same time, I realise that the time-lag in terms of ramping up supply to match demand is fuelling a marked increase in rents, especially in Dublin and the major cities. This is leading to difficulties, particularly for lower-income households. I am monitoring the rental market closely and considering policy options in relation to achieving greater rent certainty. My overriding objective in relation to rents is to achieve stability and sustainability in the market for the benefit of tenants, landlords and society as a whole.

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