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Tuesday, 26 Jul 2022

Written Answers Nos. 751-770

Housing Provision

Ceisteanna (751)

Cian O'Callaghan

Ceist:

751. Deputy Cian O'Callaghan asked the Minister for Housing, Local Government and Heritage if his Department has carried out a cost-benefit analysis of the use of leasing for social housing and if a similar analysis has been carried out on the comparative cost to the State of building or buying homes to be used for social housing; and if he will make a statement on the matter. [41348/22]

Amharc ar fhreagra

Freagraí scríofa

The cost effectiveness of Long Term Leasing has been examined on a number of occasions as part of:

- three studies/ reviews in the 2009-2011 period around the introduction of Long Term Leasing; and

- three Spending Reviews undertaken by the Irish Government Economic and Evaluation Service (IGEES) Unit in the Department of Public Expenditure and Reform between 2017 and 2021, with the most detailed of these spending review undertaken in 2018.

In the most detailed spending review published in July 2018, IGEES Unit found that while relative cost efficiency is an important consideration in terms of the mix of delivery, it also found that it is not the only consideration and must be viewed in the context of policy objectives and wider issues. In this context, as well as relative costs, a number of other considerations must be taken into account in terms of the overall mix of delivery including the speed of delivery, the quality and appropriateness of accommodation, sectoral capacity and flexibility.

In addition to the due diligence that local authorities undertake for leasing projects, rent valuations and sustainable communities report where required, as well as a Cost Effectiveness Analysis (CEA) from the Housing Agency is also undertaken for large long term leasing projects over €20m. The CEA is a comprehensive business case, including a multi criteria cost benefit analysis comparing leasing to other forms of delivery and weighting under defined comparison criteria.

Housing Provision

Ceisteanna (752)

Cian O'Callaghan

Ceist:

752. Deputy Cian O'Callaghan asked the Minister for Housing, Local Government and Heritage the amount of money that has been spent on the direct building of social housing by the State from July 2021 to July 2022; and if he will make a statement on the matter. [41349/22]

Amharc ar fhreagra

Freagraí scríofa

Social housing construction is funded through a range of different delivery streams such as local authority direct construction, Part V, turnkey developments and regeneration programmes and through direct construction and turnkey developments delivered by approved housing bodies.

In the period July 2021 to end June 2022, funding of €1.037 billion was provided by my Department to local authorities in respect of social housing build programmes.

Housing Provision

Ceisteanna (753)

Cian O'Callaghan

Ceist:

753. Deputy Cian O'Callaghan asked the Minister for Housing, Local Government and Heritage the total cost to the State of the use of leasing for the provision of social housing from June 2021 to July 2022; and if he will make a statement on the matter. [41350/22]

Amharc ar fhreagra

Freagraí scríofa

The Social Housing Current Expenditure Programme (SHCEP) supports the delivery of social housing by providing financial support to local authorities for the leasing of houses and apartments. Long term lease arrangements can be entered into by either local authorities or approved housing bodies for periods of between 10 and 25 years.

Table 1 below shows the SHCEP spend attributable to leasing from June 2021 to the end July 2022.

Table 1: Leasing Spend under SHCEP – June 2021 to July 2022

Scheme

Spend

Local Authority Long-term Leasing

€56,586,457

Approved Housing Body Leasing

€17,707,809

Enhanced Leasing

€7,434,305

Local Authority Short-term Leasing (Availability Agreements)

€21,009,766

Total

€102,738,337

Departmental Functions

Ceisteanna (754)

Holly Cairns

Ceist:

754. Deputy Holly Cairns asked the Minister for Housing, Local Government and Heritage the way that his Department and public bodies and agencies under his remit met their obligations under section 42 of the Irish Human Rights and Equality Commission Act 2014 in 2021, including the way that relevant policies and actions are monitored and the way that the obligation is reflected in their annual reports. [41373/22]

Amharc ar fhreagra

Freagraí scríofa

All public bodies in Ireland have responsibility, under the Irish Human Rights and Equality Commission Act 2014 to eliminate discrimination, promote equality of opportunity, and protect the human rights of their employees, customers, service users and everyone affected by their policies and plans.

In April 2021, my Department published its most recent Statement of Strategy. As part of the development of the Strategy, the Department carried out an assessment of the human rights and equality issues it believes are central to its functions. These include voting accessibility; housing support services for disabled people; accommodation needs of older people; housing needs of the Traveller community; and promotion and support of human rights and equality principles as they apply to the staff of the Department.

The Strategy, available at: www.gov.ie/en/publication/9a047-statement-of-strategy-2021-2025/, also outlines the key plans and policies identified to address these areas.

Progress in 2021 included the completion of an accessibility audit for three of the Department's main locations (including the Custom House); development of the Electoral Reform Bill which includes provision for the establishment of an independent Electoral Commission; and consultation on a new housing strategy for disabled people. Further details on progress will be included in my Department's Annual Report for 2021, which will be published shortly.

My Department does not maintain the requested information in respect of the State bodies under its aegis. These bodies may be contacted directly by e-mail by members of the Oireachtas, as set out in the attached table.

Contacts for state bodies

State Bodies

Ceisteanna (755)

Holly Cairns

Ceist:

755. Deputy Holly Cairns asked the Minister for Housing, Local Government and Heritage the number of State boards under the remit of his Department or its agencies; the total number of members of each board; the numbers on each board broken down according to gender; and the number of persons with a declared disability on each board in tabular form. [41391/22]

Amharc ar fhreagra

Freagraí scríofa

The website Stateboards.ie sets out various boards under each Department and can be found at the following link:

membership.stateboards.per.gov.ie/

More specifically, the details of each board under my Department's aegis along with details of the board and information on each board member including gender breakdown can be found at the link below:

membership.stateboards.per.gov.ie/department/Department%20of%20Housing,%20Local%20Government%20and%20Heritage/

Part V of the Disability Act 2005 provides that public bodies are required to collect and report data on the number and proportion of employees with disabilities. My Department collects this information from the public bodies under its aegis and submits an annual report to the National Disability Authority.

However, Board members are not employees and, therefore, such information is neither collected nor available within my Department.

Question No. 756 answered with Question No. 648.

Illegal Dumping

Ceisteanna (757)

Richard Boyd Barrett

Ceist:

757. Deputy Richard Boyd Barrett asked the Minister for Housing, Local Government and Heritage if he will provide the record of dumping at sea activities that have been carried out to date in relation to the recommended permit (details supplied). [41403/22]

Amharc ar fhreagra

Freagraí scríofa

The Foreshore and Dumping at Sea (Amendment) Act 2009 amended the Dumping at Sea Acts 1996 to 2006, so that certain functions relating to dumping at sea transferred from the Minister for Agriculture, Fisheries and Food, who was then responsible for Dumping at Sea legislation, to the Environmental Protection Agency (EPA).

Since 2010, it is the function of the EPA to issue Dumping at Sea permits. The EPA exercises an independent statutory function in this regard and I have no role in the day to day administration of this system.

Housing Provision

Ceisteanna (758, 759, 835, 836)

Richard Boyd Barrett

Ceist:

758. Deputy Richard Boyd Barrett asked the Minister for Housing, Local Government and Heritage the average cost of acquiring 1, 2, 3 and 4 bed homes in Dublin under the buy and renew scheme; and if he will make a statement on the matter. [41412/22]

Amharc ar fhreagra

Richard Boyd Barrett

Ceist:

759. Deputy Richard Boyd Barrett asked the Minister for Housing, Local Government and Heritage the average cost of acquiring 1, 2, 3 and 4 bed homes outside Dublin under the buy and renew scheme; and if he will make a statement on the matter. [41413/22]

Amharc ar fhreagra

Richard Boyd Barrett

Ceist:

835. Deputy Richard Boyd Barrett asked the Minister for Housing, Local Government and Heritage the average cost of acquiring one, two, three and four-bed homes per unit in Dublin under the buy-and-renew scheme; and if he will make a statement on the matter. [41813/22]

Amharc ar fhreagra

Richard Boyd Barrett

Ceist:

836. Deputy Richard Boyd Barrett asked the Minister for Housing, Local Government and Heritage the average cost of acquiring one, two, three and four-bed homes per unit outside Dublin under the buy-and-renew scheme; and if he will make a statement on the matter. [41814/22]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 758, 759, 835 and 836 together.

Since the Buy and Renew Scheme was introduced, my Department has assisted local authorities to purchased over 750 homes for social housing use. Nationally, excluding the 4 Dublin local authorities, the average cost to deliver one of these homes has been c.€183k, within the 4 Dublin local authority areas the cost is c.€267k, both averages include the purchase cost and the cost for the necessary improvement works to the properties to make them suitable for social housing use. As my Department does not collate statistical information with regard to bedroom numbers broken down per unit, this information is not available.

I have asked local authorities to increasingly target vacant and derelict properties that can be brought back to use as part of new public housing delivery, particularly where good value for money can be obtained and there is not an adverse impact on the local property market and I have assured them of my Department's support in this regard.

Question No. 759 answered with Question No. 758.

Housing Provision

Ceisteanna (760)

Richard Boyd Barrett

Ceist:

760. Deputy Richard Boyd Barrett asked the Minister for Housing, Local Government and Heritage the number and size of homes bought by each local authority in 2021 and the first two quarters of 2022; the cost of these homes to each local authority; and if he will make a statement on the matter. [41414/22]

Amharc ar fhreagra

Freagraí scríofa

My Department publishes comprehensive programme level statistics on a quarterly basis on social housing delivery activity. This data is available to Q1 2022, and is published on the statistics page of my Department’s website, at the following link: www.gov.ie/en/collection/6060e-overall-social-housing-provision/ Data for Q2 2022 will be available in due course.

Acquisition expenditure for each local authority in 2021 is set out in the table below. Expenditure figures by local authority are compiled on a yearly basis with 2021 being the latest breakdown. In respect of 2022, the acquisition expenditure to end June was €52m.

2021 Acquisition Expenditure

Local Authority

€m

Carlow

7.2

Cavan

1.9

Clare

13.3

Cork City

18.5

Cork County

10.9

Donegal

3.2

Dun Laoghaire Rathdown

7.5

Dublin City

107.5

Fingal

20.8

Galway City

14.5

Galway County

2.7

Kerry

2.7

Kildare

21.6

Kilkenny

7.7

Laois

5.8

Leitrim

2.9

Limerick

4.2

Longford

5.4

Louth

8.5

Mayo

2

Meath

11.2

Monaghan

3.2

Offaly

3.7

Roscommon

2.5

Sligo

1.3

SDCC

10.1

Tipperary

6.2

Waterford

3.4

Westmeath

6

Wexford

2.4

Wicklow

8.3

Total

327.1

Housing Provision

Ceisteanna (761, 806)

Richard Boyd Barrett

Ceist:

761. Deputy Richard Boyd Barrett asked the Minister for Housing, Local Government and Heritage the estimated per year cost of planned part V purchases under Housing for All; the projected cost per unit for 1, 2, 3 and 4 bed homes; the number planned to be purchased for each year broken down by local authority; and if he will make a statement on the matter. [41415/22]

Amharc ar fhreagra

Ged Nash

Ceist:

806. Deputy Ged Nash asked the Minister for Housing, Local Government and Heritage the number of social housing units that will be bought through Part V by local authorities in 2022 and planned for 2023; if he will provide a breakdown by local authority; and if he will make a statement on the matter. [41678/22]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 761 and 806 together.

Housing for All, is the Government’s plan to increase the supply of housing to an average of 33,000 per year over the next decade. Housing for All is supported by an investment package of over €4bn per annum, through an overall combination of €12bn in direct Exchequer funding, €3.5bn in funding through the Land Development Agency and €5bn funding through the Housing Finance Agency.

Under Housing for All, the Government will deliver 47,600 new build social homes, 3,500 social homes through long-term leasing and 28,500 new affordable homes in the period 2022-2026. In September 2021, I issued social housing targets to each local authority.

A key action of Housing for All is that local authorities will develop and submit Housing Delivery Action Plans to include details of social and affordable housing delivery. The Plans set out details of both social and affordable housing delivery as appropriate over the period 2022-2026, in line with targets set under Housing for All. The Plans also include details of the locations and delivery streams for social housing schemes and to make adequate provision for 1, 2, 3 and 4 bedroom homes. These Plans are available on the websites of the relevant local authorities.

My Department publishes comprehensive programme level statistics on a quarterly basis on social housing delivery activity. This data is available to Q1 2022, and is published on the statistics page of my Department’s website, at the following link: www.gov.ie/en/collection/6060e-overall-social-housing-provision/

Further details on Part V delivery by each local authority is also published on my Department's website. This provides details on Part V delivery by each local authority and approved housing body delivery in each local authority area. This is available at: www.gov.ie/en/collection/fd048-affordable-housing-and-part-v-statistics/

It is not possible to provide details of average unit costs or the total cost of future social or affordable homes delivered through Part V due to a number of factors. These factors include variables such as unit type, land cost, development and construction costs, costs and source of finance, together with ongoing maintenance and management fees, etc. Further details of the cost of units delivered through Part V will be available following the completion of projects.

Housing Provision

Ceisteanna (762, 763)

Richard Boyd Barrett

Ceist:

762. Deputy Richard Boyd Barrett asked the Minister for Housing, Local Government and Heritage the estimated construction cost of building 1, 2, 3 and 4 bed homes on local authority land; and if he will make a statement on the matter. [41416/22]

Amharc ar fhreagra

Richard Boyd Barrett

Ceist:

763. Deputy Richard Boyd Barrett asked the Minister for Housing, Local Government and Heritage the estimated construction cost of building a 1, 2, 3 and 4 bed homes on publicly owned land; and if he will make a statement on the matter. [41417/22]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 762 and 763 together.

The relevant details are being compiled and will be provided to the Deputy in accordance with Standing Orders.

The following deferred reply was received under Standing Order 51
My Department assesses, approves and records local authority social housing delivery on a project basis, rather than on the basis of individual unit types.
As Social Housing Investment Programme (SHIP) funded construction projects by local authorities must, like all publicly-funded construction programmes, comply with the Public Spending Code and Capital Works Management Framework, my Department periodically issues Unit Cost Ceilings (UCCs) for each local authority area, for use as a key benchmark for the development and costing of scheme designs at capital appraisal stage. While not a record of actual delivery costs, UCCs are based on an analysis of returned data from tendered social housing schemes.
To monitor tender cost trends and to inform the UCCs levels, my Department analyses the tender data for the construction cost element of new build schemes approved under the SHIP and Capital Assistance Scheme four stage approval processes for each unit type, where sufficient information is available to allow such costs to be extrapolated and where the information available is appropriate for comparison purposes.
Outlined in the tables below are average construction costs (incl. VAT) per unit type, recorded as part of the aforementioned analysis for projects tendered in each of the years 2020 to 2021. The tables also set out the range of costs that make up this average for each unit type. The range of costs recorded vary, depending on design, location and on the level of abnormal requirements for each scheme, for instance existing site conditions, demolitions, service diversions and site access requirements. Abnormal costs are also separately identified in the tables below.

2020 (updated)

Construction Costs* (incl abnormals)

Abnormal Costs

Average Cost Per Unit €

Range of Costs per Unit €

Average Cost Per Unit €

Range of costs per unit €

1bed house

184,435

139k - 237k

24,949

3k - 46k

2bed house

193,665

129k - 263k

24,287

1k - 66k

3bed house

211,518

152k - 342k

24,602

1k - 66k

4bed house

262,311

205k - 321k

40,196

15k - 66k

1bed apartment

198,719

169k - 269k

22,875

24k - 54k

2bed apartment

230,691

198k - 306k

16,337

7k - 54k

3bed apartment

N/A

N/A

N/A

N/A

2021

Construction Costs* (incl abnormals)

Abnormal Costs

Average Cost Per Unit €

Range of Costs per Unit €

Average Cost Per Unit €

Range of costs per unit €

1bed house

176,385

143k - 221k

21,432

7k - 41k

2bed house

228,470

144k - 295k

29,755

6k - 64k

3bed house

236,096

162k - 348k

24,887

4k - 68k

4bed house

283,656

190k - 348k

32,131

11k - 43k

1bed apartment

212,765

179k - 276k

40,557

30k - 58k

2bed apartment

244,296

187k - 325k

43,113

34k - 64k

3bed apartment

306,096

302k - 312k

50,451

46k - 58k

* Construction Costs as shown, are derived from unit cost analysis and capture the construction cost element only incl abnormals (i.e. not all-in costs)
The above costs relate to the construction element of the all-in delivery cost. Other items that make up the all-in total include:
- Design/technical fees : Design fees vary from project to project, depending on the location, size and complexity of a scheme (and depending on whether design services are provided by a local authority in-house or via external appointment). As a guideline/indicator, design fee are generally expected to range between 7.5% to 12.5% of construction costs.
- Land cost : Land costs will vary significantly from project to project, depending on location and ownership status (i.e. land costs could vary from existing local authority land at no cost to land purchased at market value).
- Utilities : Connection fees for Irish Water, ESB, gas, etc. As a guideline/indicator, utility connection costs are generally in the order of €7k per unit.
- Other Costs : Other items that make up the all-in delivery cost can include site investigations/surveys, archaeological requirements, Percent for Art contributions - and will vary from scheme to scheme.
It is understood by all involved in advancing social housing projects that a range of factors can impact on the costs for individual projects. Project-specific issues will always arise and will be central to how a project can be advanced and the costs for same. These factors are part of the regular engagement that happens between my Department and local authorities/AHBs which is focussed on facilitating the earliest possible delivery of new social homes that are both high quality and value for money. To that end, as well as sharing UCCs with local authorities, my Department has previously shared outline specifications for new social housing and has also recently issued a new 'Design Manual' which will guide local authorities, AHBs and their Design Teams/consultants, on the design of social housing site layouts and the internal layouts of individual social homes. These recent initiatives are important in the work to improve the quality, cost-effectiveness and pace of delivery of social homes and I look forward to continuing our work with our delivery partners to take advantage of these opportunities.
Question No. 763 answered with Question No. 762.
Question No. 764 answered with Question No. 608.

Homeless Accommodation

Ceisteanna (765, 844, 845)

Richard Boyd Barrett

Ceist:

765. Deputy Richard Boyd Barrett asked the Minister for Housing, Local Government and Heritage the estimated full-year cost of providing emergency accommodation for homeless people in 2022; and if he will make a statement on the matter. [41421/22]

Amharc ar fhreagra

Richard Boyd Barrett

Ceist:

844. Deputy Richard Boyd Barrett asked the Minister for Housing, Local Government and Heritage the estimated full year cost of providing emergency accommodation for homeless people in Dublin in 2022; and if he will make a statement on the matter. [41922/22]

Amharc ar fhreagra

Richard Boyd Barrett

Ceist:

845. Deputy Richard Boyd Barrett asked the Minister for Housing, Local Government and Heritage if he will provide a list of all the emergency accommodation centres for homeless people in Dublin; the number of places in each; the cost of running each; and if he will make a statement on the matter. [41923/22]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 765, 844 and 845 together.

My Department's role in relation to homelessness involves the provision of a national framework of policy, legislation and funding to underpin the role of housing authorities in addressing homelessness at local level. Statutory responsibility in relation to the provision of homeless services rests with individual housing authorities.

My Department does not fund any homeless service directly but provides funding to local authorities towards the operational costs of homeless accommodation and related services under Section 10 of the Housing Act, 1988. Under Exchequer funding arrangements, local authorities must provide at least 10% of the cost of services from their own resources. Furthermore, local authorities may also incur additional expenditure on homeless related services outside of the Exchequer funding arrangements provided by my Department. Therefore, the exact amounts spent by housing authorities on homeless services, as well as the type and operation of homeless services including the cost of, and number of places in emergency accommodation facilities are a matter for individual housing authorities in consultation with the Management Group of the relevant regional joint Homelessness Consultative Forum.

Exchequer funding for homeless services is provided through my Department to housing authorities on a regional basis. The funding provided to each of the homeless regions to date in 2022 is set out below;

Exchequer funding provided to homeless regions date in 2022

Dublin

50,876,236

Mid East

3,403,000

Midlands

711,655

Mid West

3,805,548

North East

836,672

North West

436,000

South East

2,139,513

South West

4,360,063

West

2,757,548

Financial reports from each of the homeless regions including Dublin, are available on my Department's website at the link below. These financial reports include detail of emergency accommodation facilities in each region and the expenditure incurred on these services.

www.housing.gov.ie/housing/homelessness/other/homelessness-data.

Heritage Sites

Ceisteanna (766, 767)

Mary Lou McDonald

Ceist:

766. Deputy Mary Lou McDonald asked the Minister for Housing, Local Government and Heritage if funding will be provided to Dublin City Council in respect of the refurbishment of a building (details supplied) in Dublin. [41473/22]

Amharc ar fhreagra

Mary Lou McDonald

Ceist:

767. Deputy Mary Lou McDonald asked the Minister for Housing, Local Government and Heritage the funding streams that may be available to enable Dublin City Council to undertake the refurbishment of a building (details supplied) in Dublin, in order to allow the building to be potentially used for cultural and artistic purposes; and if he will make a statement on the matter. [41474/22]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 766 and 767 together.

My Department provides financial support for the protection of eligible heritage buildings and historic structures through two grant schemes which are, in the main, administered by the local authorities. These are the Historic Structures Fund (HSF) and the Built Heritage Investment Scheme (BHIS).

The HSF is for conservation and enhancement to heritage structures and historic buildings, in both private and public ownership, for the benefit of communities and the public. The BHIS is a scheme for the repair and conservation of structures on the local authority Record of Protected Structures (RPS). It is designed to leverage private capital for investment in small-scale conservation projects across the country and to support the employment of skilled conservation professionals.

In 2021, Dublin City Council applied to the Historic Structures Fund to receive funding for works to the shopfront of 55 Amiens Street. It was awarded €50,000 under the Historic Irish Shopfront Stream of the HSF, with half of this award being funded by the Department of Tourism, Culture, Arts, Gaeltacht, Sport and Media. The grant was awarded toward conservation works including the conservation and restoration of the original Irish language shopfront, necessary structural works to safeguard it, and the reinstatement of gilded signwriting.

In October of 2021, Dublin City Council contacted my Department to communicate unforeseen issues relating to the procurement process for the project. As such they were not in a position to draw down the grant by the deadline set out by the HSF Circular. My Department and the Department of Tourism, Culture, Arts, Gaeltacht, Sport and Media agreed to carry over the funding to 2022 to allow the project to proceed.

Dublin City Council are aware of the schemes that my Department runs and are welcome to submit further applications, when their currently funded works are completed.

Question No. 767 answered with Question No. 766.

Housing Schemes

Ceisteanna (768)

Patricia Ryan

Ceist:

768. Deputy Patricia Ryan asked the Minister for Housing, Local Government and Heritage when plans to make changes to homeless HAP discretion will be made; and if he will make a statement on the matter. [41561/22]

Amharc ar fhreagra

Freagraí scríofa

Local authorities have had discretion, because of local rental market conditions, to exceed the maximum rent limit by up to 20%, or up to 50% in the Dublin region, for those households either in or at immediate risk of homelessness. It is a matter for each local authority to determine whether the application of a discretionary increase is warranted, and the level of such an increase, on a case-by-case basis.

The Programme for Government commits to ensuring that Housing Assistance Payment (HAP) levels are adequate to support vulnerable households, while the supply of social housing increases.

Under Housing for All, my Department was tasked with undertaking an analytical exercise to examine whether an increase in the level of discretion available to Local Authorities under HAP is required. The Housing Agency undertook to carry out this analytical exercise on behalf of my Department to better understand what level of discretion should be made available to local authorities under HAP to maintain adequate levels of support.

Following receipt and analysis of this review, I, in cooperation with Government colleagues and the Department of Public Expenditure and Reform, have now approved an increase in the HAP discretion rate from 20% to 35% and for new tenancies to extend the couple’s rate to single person households. This will secure more tenancies and prevent new entries to homelessness. Both these measures came into effect from 11 July 2022.

Each local authority now has statutory discretion to agree to a HAP payment up to 35% above the prescribed maximum rent limit to secure appropriate accommodation for a household that requires it, or up to 50% in the case of homeless households in the Dublin region.

A separate review of the discretion available to Homeless HAP tenancies in the DRHE area, which is up to 50% above the prescribed maximum rent limits, is currently being undertaken by my Department, in conjunction with the Housing Agency.

Question No. 769 answered with Question No. 680.

Housing Policy

Ceisteanna (770)

Patricia Ryan

Ceist:

770. Deputy Patricia Ryan asked the Minister for Housing, Local Government and Heritage his plans to designate all areas of the State as a rent pressure zone; and if he will make a statement on the matter. [41563/22]

Amharc ar fhreagra

Freagraí scríofa

The Planning and Development (Housing) and Residential Tenancies Act 2016 introduced the Rent Predictability Measure to moderate rent increases in those parts of the country where rents are highest and rising fastest. The Residential Tenancies (No. 2) Act 2021 introduced measures in July 2021 to extend the operation of Rent Pressure Zones (RPZs) until the end of 2024 and prohibit any necessary rent increase in an RPZ from exceeding general inflation, as recorded by the Harmonised Index of Consumer Prices (HICP). The Act also provides that rent reviews outside of RPZs can, until 2025, occur no more frequently than bi-annually. This provides rent certainty for tenants outside of RPZs for a minimum 2 year period at a time.

To address the rent affordability challenges building on foot of the unexpectedly fast rising inflation rate, as recorded by HICP (CSO data for June 2022 shows HICP inflation of 9.6% p.a.), the Residential Tenancies (Amendment) Act 2021 was enacted to provide, from 11 December 2021, a cap of 2% per annum pro rata on rent increases in RPZs where the inflation rate is higher. In all cases, section 19(1) of the Residential Tenancies Acts 2004-2022 (RTA) prohibits the setting of a rent that exceeds market rent.

Section 24A of the RTA provides that the Housing Agency, in consultation with housing authorities, may make a proposal to me, as Minister, that an area should be considered as a RPZ. Following receipt of such a proposal, I, as Minister, request the Director of the Residential Tenancies Board (RTB) to conduct an assessment of the area to establish whether or not it meets the criteria for designation and to report to me on whether the area should be designated as a RPZ.

The criteria to be satisfied by an area under section 24A(4) of the Acts for designation as an RPZ are as follows

- the information relating to the area, as determined by reference to the information used to compile each RTB Rent Index quarterly report, shows that the annual rate of increase in the average amount of rent for that area is more than 7% in each of at least 4 of the 6 quarters preceding the period immediately prior to the date of the Housing Agency's proposal, and

- the average rent for the area in the last quarter, as determined by reference to the information used to compile each RTB Rent Index quarterly report, is –

- in the case of counties Kildare, Meath and Wicklow or a local electoral area (LEA) in any one of those counties, above the average rent in the State, excluding rents in the 4 Dublin Local Authority areas, or

- in the case of any LEA outside of the Greater Dublin Area (i.e. Dublin, Kildare, Meath and Wicklow), above the average rent in the State excluding rents in the Greater Dublin Area.

Each RTB quarterly Rent Index Report includes a table of the data used to establish whether each LEA fulfils the criteria for designation as a RPZ.

The Housing Agency and the RTB will continue to monitor national rents and if any area meets the designation criteria it will be designated as a RPZ.

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