Dáil Éireann Debate, Tuesday - 17 April 2018
1570. Deputy Thomas P. Broughan asked the Minister for Housing, Planning and Local Government the measures he is taking to address the growing problem of access to the rental market for older persons in view of the fact that monthly rents have risen above the average contributory State pension rates; and if he will make a statement on the matter. [15910/18]
Amharc ar fhreagraThe Strategy for the Rental Sector, published in December 2016, recommended the introduction of a Rent Predictability Measure to moderate rent increases in those parts of the country where rents are highest and rising and where households have greatest difficulties in finding accommodation they can afford. The Planning and Development (Housing) and Residential Tenancies Act 2016 provided for the Rent Predictability Measure and for areas designated as Rent Pressure Zones (RPZs), where rents can now only rise by a maximum of 4% annually for a period of 3 years.
The Residential Tenancies Board’s latest quarterly Rent Index Report for Q4 2017, which was published last month, shows reductions in the rate of rental inflation across both national and Dublin rents. The slowdown in the quarterly growth rate in Dublin rents to 1.1% in Q4 2017 is particularly noteworthy, bringing the annualised growth rate over 2017 to 5.2%, a drop from 8% calculated in the 12 months to Q3 2017 and the lowest annual rental growth rate in Dublin since 2013. This latest Quarterly Index provides evidence that the introduction of the RPZs, in December 2016, is having a positive effect on rent inflation.
Rebuilding Ireland aims to ensure that older people have a range of housing choices available to them and there is an overall commitment to examine the potential of targeted schemes to meet differing housing needs. Social housing supports are provided to households through the private sector under schemes such as the Rental Accommodation Scheme (RAS), Housing Assistance Payment (HAP) and by the leasing of properties from private owners by local authorities and AHBs, funded under the Social Housing Current Expenditure Programme (SHCEP).
Leasing is used to accommodate households from local authority waiting lists and leased properties are allocated to tenants, in accordance with the relevant local authority’s allocation scheme. RAS is a targeted scheme that allows households to transfer from rent supplement to social housing if they have been in receipt of rent supplement for 18 months or more. RAS tenants can find their own private rental accommodation or a local authority can source that accommodation for them. HAP provides fast, flexible housing support to households in an area of their choice. A key principle of the HAP scheme is that eligible households source their own accommodation in the private rented sector. Under these schemes, local authorities or AHBs make a monthly payment to the landlord, subject to conditions, on the tenant’s behalf. In return, the tenant pays a contribution towards their rent to the local authority or AHB concerned. This contribution is based on the household income and ability to pay. These options are available to all people who qualify for social housing support.
The provision and allocation of social housing are matters for individual local authorities in accordance with their allocation schemes. Planning authorities are required, under section 94 of the Planning and Development Act 2000, to include a housing strategy in their development plans which must outline the authorities’ plans for the existing and future housing needs of the population of their areas. The strategy must include provisions to ensure that a mixture of house types and sizes is developed to reasonably match the requirements of the different categories of households including the special requirements of older people and people with disabilities.
