Oireachtas Joint and Select Committees

Tuesday, 21 February 2017

Joint Oireachtas Committee on Housing, Planning, Community and Local Government

Housing Rental Sector Strategy: Discussion

11:00 am

Ms Bairbre Nic Aongusa:

On the Tyrrelstown's amendment, as the Deputy rightly said, we got legal advice from the Attorney General to the effect that issues of private property and constitutional rights arose in that context. We were told that whatever figure we arrived at would have to be substantial and proportionate and the advice we got was that ten units was appropriate. However, under the rental strategy, we are committed to looking at options for securing tenants' rights when properties are in receivership. A working group has been established and it will hold its first meeting on Thursday. I will chair the group which will also include representatives from the Departments of Justice and Equality, Jobs, Enterprise and Innovation and Finance as well as representatives from the Attorney General's office. We will examine how the obligations of landlords could transfer to receivers so that the rights of tenants in properties that are in the hands of receivers can be protected.

I do not have information on exactly how many pre-1963 tenancies exist but such tenancies would be covered by the Tyrrelstown amendment where there are ten or more units in a single property and where they are not otherwise exempt under the legislation. That has been confirmed for us.

I would like to make a few closing remarks, if I may. I thank the committee for giving us the opportunity to come here to discuss these issues today. The meeting is smaller than we had anticipated but it has been useful. It is very clear that the rental strategy is only one part of the Government's overall approach to housing, which is set out in Rebuilding Ireland. We will be appearing before this committee again on 9 March to discuss overall progress. The Secretary General will be leading a delegation to look at overall progress on many of the issues that we touched on today. Ultimately, the most effective way to moderate rents and to have a functioning rental market is to increase supply and the entire Rebuilding Ireland programme is dedicated to doing that. In the longer term, we feel strongly that we need to look at restructuring the rental market. We need to grow the not-for-profit sector and ensure that people on middle incomes can have access to affordable rental accommodation.

The rationale for the rent pressure zones to which we referred earlier is very clear. They are time-bound, targeted and transparent mechanisms to intervene in the market until the supply comes back on stream. The process is transparent, evidence based, independent and underpinned by legislation. As I said, we will be reviewing it in June and taking everyone's views into account. In that context, today's conversation has been particularly helpful. I thank the committee members as well as my colleagues for their support today.