Dáil Éireann Debate, Tuesday - 24 July 2018
2579. Deputy Brendan Howlin asked the Minister for Employment Affairs and Social Protection the number in receipt of rent supplement in 2017 and 2018, respectively; the cost in 2017 and to date in 2018; the number of new awards of rent supplement to date in 2018; the projected number in 2019; the number expected to transition to HAP in 2018 and 2019 respectively; and if she will make a statement on the matter. [35236/18]
Amharc ar fhreagra2580. Deputy Brendan Howlin asked the Minister for Employment Affairs and Social Protection her plans to review the rent limits for rent supplement; the estimated cost of increasing limits by 20% and 10%, respectively; the estimated cost of benchmarking the maximum rent at the 35th percentile of those rents registered with the Residential Tenancies Board; and if she will make a statement on the matter. [35237/18]
Amharc ar fhreagra2581. Deputy Brendan Howlin asked the Minister for Employment Affairs and Social Protection the number of rent supplement tenancies by county in which the payment was increased above prescribed limits; the cost of same in 2017; the projected cost in 2018; and if she will make a statement on the matter. [35238/18]
Amharc ar fhreagra2582. Deputy Brendan Howlin asked the Minister for Employment Affairs and Social Protection the amount spent on rent supplement in each year since 2000, in tabular form; and if she will make a statement on the matter. [35239/18]
Amharc ar fhreagraI propose to take Questions Nos. 2579 to 2582, inclusively, together.
Rent supplement plays a vital role in housing families and individuals, with the scheme supporting approximately 29,000 recipients for which the Government has provided €180 million for in 2018.
Details of the numbers of rent supplement recipients and expenditure for 2017 and for the six months ending June 2018 are provided in the attached tabular statement along with statistics in relation to new rent supplement awards from 2017 to the end of May 2018.
As the Deputy will be aware, the strategic policy direction of the Department is to return rent supplement to its original purpose of being a short-term income support scheme and this has been facilitated by the introduction of the Housing Assistance Scheme (HAP).
There are currently over 38,000 HAP tenancies in place of which c 9,900 (c.26%) are transfers from rent supplement. The HAP tenancy target for 2018 and 2019 is 17,000 and 16,760 respectively. If the transfer rate from rent supplement to HAP continues in line with forecasts, the number of rent supplement tenancies at end December 2018 will be approximately 22,000 customers. As of 23rd July, 2018 some 10,130 new HAP tenancies have been set up during 2018. Under the targets outlined in the Action plan for Housing and Homelessness – Rebuilding Ireland, the aim is to complete the transfers from rent supplement to HAP by 2020.
The Department completed a review of the maximum rent limits in line with the commitments contained in the Programme for a Partnership Government in 2016. The review increased limits for all areas of the country with effect from 1 July 2016 resulting in an estimated additional cost of €12 million in 2016, €55 million in 2017 and €60m in 2018.
The current cost of increasing rent limits by 20% and 10% generally or benchmarking rent limits against the 35th percentile of rental rates held by the Residential Tenancies Board is not currently available. Any further review of prescribed rent limits would have to be considered in a budgetary context and in conjunction with my colleague, the Minister for Housing, Planning, and Local Government
An increase in rent limits at this time will not increase the level of availability of rental housing stock due to the acute levels of available supply but may impact negatively on those currently renting, in particular low income working families renting in urban areas.
In the last year, approximately 1,000 recipients have been supported with increased rent payments, receiving support in excess of their prescribed limits. The average uplift in excess of the prevailing rent limits for the National Framework for Tenancy Sustainment for the 12 month’s ended May 2018 is c. €190. The average increase in rent for the protocol operated by Threshold operating for counties: Dublin, Kildare, Meath, Wicklow is €220.
Approximately, 12,800 cases have been provided additional flexible payment arrangements to date; with approximately 7,700 tenancies (c. 26% of total current recipients) that have received an intervention still being actively supported by the rent supplement scheme. The additional marginal costs associated for these flexible payments is c. €18m for the 2018 (10% of the total cost provided).
A breakdown by county of the number of Rent Supplement recipients receiving support where rents are in excess of the prescribed rent limits in 2017 is provided in the attached tabular statement. Details of the cost of these increased payments are not currently available but will be forward to the Deputy shortly.
Any changes to the rent supplement scheme can only be considered in a budgetary context and within the scope of the overall resources available for welfare improvements.
I trust this clarifies the matter for the Deputy.
Table 1: Rent Supplement – New Awards 2017 to end June 2018
|
Year |
No. of New Awards |
|
2017 |
6,680 |
|
End May 2018 |
1,746 |
Table 2: Rent Supplement Numbers & Expenditure: 2000 to Present
|
Year |
Recipients |
Cost €000 |
|
2000 |
42,683 |
150,590 |
|
2001 |
45,028 |
179,438 |
|
2002 |
54,213 |
252,203 |
|
2003 |
59,976 |
331,471 |
|
2004 |
57,874 |
353,762 |
|
2005 |
60,176 |
368,705 |
|
2006 |
59,861 |
388,339 |
|
2007 |
59,726 |
391,466 |
|
2008 |
74,038 |
440,548 |
|
2009 |
93,030 |
510,751 |
|
2010 |
97,260 |
516,538 |
|
2011 |
96,803 |
502,747 |
|
2012 |
87,684 |
422,536 |
|
2013 |
79,788 |
372,909 |
|
2014 |
71,533 |
338,208 |
|
2015 |
61,247 |
311,059 |
|
2016 |
48,041 |
275,294 |
|
2017 |
34,378 |
231,2211 |
|
June 2018 |
29,8252 |
94,442 |
1 Provisional Outturn 2017
2 As at end June 2018
Table 3: County analysis of increased payments awarded in 2017
|
County |
Total No. of increased by payments by county in 2017 |
|
Carlow |
19 |
|
Cavan |
19 |
|
Clare |
0 |
|
Cork |
8 |
|
Donegal |
0 |
|
Dublin |
939 |
|
Galway |
16 |
|
Kerry |
118 |
|
Kildare |
146 |
|
Kilkenny |
5 |
|
Laois |
0 |
|
Leitrim |
11 |
|
Limerick |
10 |
|
Longford |
25 |
|
Louth |
43 |
|
Mayo |
14 |
|
Meath |
47 |
|
Monaghan |
0 |
|
Offaly |
10 |
|
Roscommon |
37 |
|
Sligo |
0 |
|
Tipperary |
45 |
|
Waterford |
8 |
|
Westmeath |
36 |
|
Wexford |
3 |
|
Wicklow |
138 |
|
Total |
1,697 |
