John Brady (Wicklow, Sinn Fein)
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I welcome the officials from the Department of Social Protection to the committee. I thank them for their presentation.

As Ms Faughnan mentioned, rent supplement started as a short-term payment to assist people with a housing need. I think initially, it was a payment for a period of between three to six months before long-term housing needs would be met. Unfortunately successive Governments have used this as a tool to meet the housing needs of many people. In reality it is an admission of failure of the housing policy on the part of successive Governments that we rely on the private sector market as one of the major providers of housing to meet the housing needs of citizens. To my mind that is an admission of failure of successive Governments. It is also interesting to note that Ms Faughnan acknowledges that the increase in the rent supplement limits will not impact positively in terms of additional supply of housing. I think that everybody acknowledges that but it is interesting that some members do not see that as they think it will increase the supply. The Department of Social Protection acknowledges that is not the case. Sinn Féin and many organisations have argued the case for rent caps to be put in place. Once there is a reliance on the private market, the market will demand increased rents. The Government is pandering to the private market. We have proposed that rent caps be index linked to the rate of inflation. Unfortunately the Government has taken the alternative view of increasing allowances but restricting it to apply on a two year basis.I do not think that will be sufficient. Until we put rent caps in place, I think we will see this continue.

I wish to raise a number of specifics. Ms Faughnan mentioned top-up payments that many had been making to landlords.

In 2014, Threshold produced estimated figures that 44% of all families in receipt of rent supplement had to make top-up payments to landlords. Ms Faughnan mentioned the process whereby these payments will be regularised. I would be interested to learn how that process will be rolled out and the criteria to be used. I would imagine landlords will dispute that under-the-table payments had been made to them because of the tax implications of the non-declaration of payments. Will the CWO take the word of the people who had been making these payments? As I said up to 44% of all recipients had been engaged in what was an unlawful but very necessary practice to keep a roof over their heads. Will their word be sufficient for the CWOs and what evidence will they need to produce for these payments to be regularised?

Difficulties will arise from the discretion of the CWOs to increase payments. In Wicklow we have a fantastic organisation called Sa Bhaile, which does fantastic work for homeless people. This organisation was born out of the identified need to have a deposit of one month's rent in addition to the rent itself. Last year Wicklow County Council gave an allocation of €40,000 to that organisation, Sa Bhaile. I am sure there are many more excellent organisations like that across the State, doing the exact same work. That indicates they are either replicating or doing the work that community welfare officers are not doing. If a local authority has to make a provision of €40,000 for finance that a community welfare officer has the discretion to be able to put in place, surely that indicates there are difficulties there. The people who come to me tell me it is pot luck as to which community welfare officer one gets as to whether he or she will use the discretionary powers to make these payments. I would be interested to learn the criteria the community welfare officers have to apply and the discretionary powers they have, because the evidence I have is that it is purely dependent on the CWO. For a local authority to fund a group to the tune of €40,000, which is a substantial sum from their budget, when community welfare officers have the means to be able to meet that need, shows there is a problem.

Was it last year or the year previously to that, the then Minister stepped in to deal with the issue of letting agents, advertising properties on online websites where it was stated that nobody on rent supplement need apply. In fairness, the then Minister stepped in and outlawed that practice. Unfortunately, letting agents have devised a new method to circumvent that ruling. While it is illegal to advertise that rent supplement is not accepted, those on rent supplement who view the properties are now being put on waiting lists, and they never hear again from the letting agents. These agents are effectively gatekeepers for the landlords, to keep people in receipt of rent supplement away from the property. In the past number of weeks, I have been snowed under by people coming to me and telling me that they have viewed properties, have given their details but have not heard again from the agent.

While it is illegal to advertise publicly on websites or in the letting agents, the legislation has not dealt with the issue.

I have seen properties that were substandard being offered by people who cannot be called anything other slum landlords. The condition of these properties is such that they would not be fit to house an animal. In some cases, these landlords are getting substantial sums in rent supplement and other payments. I know it falls on the local authorities to carry out checks on properties. Some local authorities are very proactive and carry out inspections. I have been speaking to people from different local authorities and they say the housing section of the local authority turns a blind eye to some of these properties. They have adopted an approach that it is better to have a roof rather than no roof over one's head, regardless of the condition of the property. Has the Department been in touch with any local authority, voicing concern about the level of inspections? Have local authorities ruled against any properties? There are serious concerns. I was in a property the other day where the family is in receipt of rent supplement. The bathroom floor is completely rotted and it is a safety issue.. Anytime they raise the issue with the landlord, he says it is time for a rent review, and that is hanging over their heads.

I know that HAP has to be rolled out in nine local authorities. My fear is that resources are needed to conduct investigations to ensure the property meets the critical requirements. What additional resources are being put into the local authorities to deal with these inspections and with the number of cases that are putting demands on them? I know HAP is to be rolled out in County Wicklow before Christmas, but without additional staff in the housing section and other resources, the local authority is facing serious difficulties.