Tony McLoughlin (Sligo-North Leitrim, Fine Gael) | Oireachtas source

I welcome the opportunity to express support for this reforming legislation which will benefit tenants, local authorities and the State. The Bill will also promote a return to employment and strengthen local communities by allowing residents to purchase properties in the areas in which they have settled. Furthermore, it will deal in a fair and efficient manner with anti-social behaviour in communities by empowering local authorities and facilitating decentralisation.

The current rent supplement system is not fit for purpose and requires a major overhaul. It has unintentionally developed into a long-term support. One of the main and unfortunate disadvantages of the current system is that most tenants are discouraged from taking up employment because they fear losing the supports available to them. This will no longer be the case under the new housing assistance payment, HAP, scheme. The new scheme will be operated by housing authorities and will give local authorities responsibility for all long-term supports, thus creating a better and more transparent system. While tenants will continue to have the freedom to source their own accommodation in the private rented sector, the local authority will pay the full rent to the landlord directly and the tenant will pay the contribution to the local authority. Landlords must be tax compliant to avail of the scheme and the rented accommodation will have to meet statutory standards. This will contribute to improved standards of private rented accommodation. In addition, the involvement of local authorities will guarantee transparency and clarity in the system.

The Government is committed to getting people back to work. Under the current rent supplement scheme, support is usually discontinued when a person or his or her spouse or partner returns to full-time employment. The new scheme will provide an opportunity for tenants to work without losing their rent supplement, with the payment being adjusted depending on income. This change will be welcomed by members of the public on the basis that it offers solutions based on individual needs and replaces the one-size-fits-all approach adopted by the previous Government. The new system was designed with fairness in mind and we will deliver on that objective.

The Bill also introduces a new tenant purchase scheme for local authority tenants linked to household income. The scheme will provide an opportunity for people to establish roots, become home owners and remain part of their community. It has been meticulously designed and all possible factors have been taken into consideration. Local authorities will offer tenants an opportunity to purchase their home at a discounted price. The scheme safeguards local authorities against possible losses as the legal framework in place ensures individuals will not make a profit at the expense of councils. Anti-social behaviour is also discouraged through the inclusion of a provision precluding purchase by those who are in breach of public order.

I have received numerous inquiries from tenants who wish to purchase their homes from Sligo and Leitrim county councils. This is an opportune time to offer people a realistic deal that will allow them to purchase their own home. I hope the Housing Finance Agency will respond with effective finance options because I fear the banks will not do so.

The Bill also deals with the termination of tenancy agreements by providing that this will be done in an open and transparent manner. It also introduces a new system for the repossession of local authority houses. This measure will only be applied where it is absolutely necessary and all other options have been exhausted. The Bill includes measures to deal with cases of serious breaches of the tenancy agreement, which will include anti­social behaviour and continued failure to pay rent or arrears.

It is essential that we provide a safe and pleasant living environment for our communities and tackle the issue of anti-social behaviour in a fair but firm manner. There is a perception that people will not respect a home if it is provided at a low rent. Social housing costs money and all tenants must respect the property they live in, irrespective of whether the local authority is the landlord. Councils must side with those living in local authority estates who take pride in their home and estate and ensure that those who have little respect for their properties are penalised.

The legislation regulates the provision of housing for the public by introducing crucial tools, procedures and a legal framework that will be indispensable for a smooth development of the sector in future. It also draws a clear picture of the Government's vision of a fair and hard-working society that provides opportunities for the prosperity of future generations.

I commend the Minister of State, Deputy Jan O'Sullivan, on her work on this important Bill. This time last year, the Minister of State visited two estates in County Leitrim where remedial works costing €1.6 million had been carried out. She observed at first hand the value of this investment and the comfort it brought to the residents of the estates. I hope similar works will be considered for other estates across counties Leitrim and Sligo if such schemes are open for consideration by the Department. In the meantime, I commend the Minister of State on the positive and progressive work she is doing on housing with a limited budget.

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