Dáil Éireann Debate, Tuesday - 14 February 2023
251. Deputy Sean Sherlock asked the Minister for Housing, Local Government and Heritage if he will provide an update under Housing for All for an average of 2,000 new cost rental homes every year with rents targeted at least 25% below market level. [7112/23]
Amharc ar fhreagraCost Rental was introduced through the Affordable Housing Act 2021. Under Housing for All, an average of 2,000 new Cost Rental homes are targeted annually to 2030. Cost rental is targeted to deliver at least 25% below market level and at households with incomes above the social housing limits, but who cannot afford to purchase or rent their own home on the open market. Cost Rental provides tenants with secure tenancies in sustainable, long-term homes. Under the Cost Rental model, rents for homes are set to cover only the cost of financing, building, managing and maintaining the homes. Importantly, one of the conditions of this scheme is that households must have net income (i.e. the level of income after tax) of less than €53,000. Under the Housing for All targets, the delivery of Cost Rental homes will be scaled up and implemented in areas with a high affordability constraint as soon as practicable.
The first Cost Rental homes were delivered in 2021, and 2022 saw significant delivery of further Cost Rental homes by Approved Housing Bodies (AHBs) via the Cost Rental Equity Loan and the first Cost Rental homes delivered via the Land Development Agency (LDA). A grant is also available to local authorities via the Affordable Housing Fund which provides up to €150,000 per cost rental home.
Delivery in 2023 will continue with a pipeline of housing delivery in place and being developed by local authorities, AHBs, and the LDA. Local authorities have begun systematically collating information on delivery of affordable homes in their area, including validated delivery from AHBs and the LDA, in the same manner as is currently done for social housing for submission to my Department. 2022 year end returns are currently being prepared by local authorities. Informed by returns of this data which is scheduled over the coming weeks, I expect that my Department will be in a position to report the confirmed 2022 social and affordable housing delivery by the end of Q1 2023, which will include Cost Rental delivery.
