Oireachtas Joint and Select Committees

Tuesday, 27 April 2021

Joint Oireachtas Committee on Housing, Planning and Local Government

General Scheme of the Affordable Housing Bill 2020: Discussion (Resumed)

Photo of Francis Noel DuffyFrancis Noel Duffy (Dublin South West, Green Party) | Oireachtas source

We must distinguish between affordable renting and cost rental. Cost rental is based on the cost; affordable is where assistance is provided by the State, essentially. We need to make sure which one is which, when we are speaking to them.

In Vienna, state assistance is given to people who cannot afford cost rental. It is the first time that cost rental has happened. There was a concept in 2015, as Deputy Ó Broin told me previously. This year, we are pushing a lot more out. I would say that, for the first time, cost rental is happening. It will be a long time, or 20 years, before we have quite a bit of capacity at cost rental and can see the benefit of it. However, cost rental is what it says on the tin. It is the cost of the unit, and the rent comes from that. Therefore, I assume, going forward, that when this model evolves, the State will come in and assist people to rent those units. That is what happens in Vienna and it is how it works.

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