Batt O'Keeffe (Cork North West, Fianna Fail)

The Residential Tenancies Act 2004 provides that rents in the private rented sector cannot be set higher than the open market rate and that rent reviews cannot normally occur more frequently than once a year. Any tenant who considers that the rent sought exceeds the market rate or who has a complaint about a rent review can refer the issue to the Private Residential Tenancies Board for resolution. These and other provisions of the 2004 Act are based on recommendations of an independent commission on the private rented residential sector. The commission carefully considered and rejected all forms of rent control, which it found to have generally been counter productive.

The Central Statistics Office rent index indicates that rents in the private rental sector have increased by 12% in the 12 months to October 2007. However, the longer-term trend is relatively moderate with an annual average increase over the five years from October 2002 to October 2007 of 2.4% per annum.

It is a function of the PRTB to review the operation of the relevant legislation, particularly the provisions relating to rent, and to make recommendations regarding any amendments considered necessary. There are no proposals currently to amend the provisions relating to rent levels.

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