Olwyn Enright (Laois-Offaly, Fine Gael)

I want to raise two issues concerning amendment No. 18. The first is somewhat similar to the issue Deputy Shortall has discussed. There is another aspect to this. I am sure all Members have spoken to tenants who are paying a top-up to their landlord. This is illegal and indicates a difficulty that exists in the system. Tenants in those circumstances have little option because if the rent on the accommodation exceeds the qualifying limit, they will not receive the supplement. Some tenants, therefore, are giving landlords significant sums of money to secure accommodation.

The other problem is that in particular areas, one is almost bound to be over the limit because of the high market rents. This is causing difficulties for tenants who are often not in a position to provide a top-up and so cannot secure the desired property. Surveys conducted by Threshold indicate this as a significant issue, as did other pre-budget submissions. Given a choice between a prospective tenant in receipt of rent supplement and another who can pay up-front, landlords will choose the latter. It may indicate a lack of social consciousness on the part of landlords but it is understandable.

This issue was raised at a meeting of the Committee of Public Accounts. I understand the Department looked into the possibility of paying up-front and that the estimated cost was in the region of €10 million to €12 million. This seems a remarkably high figure given that the length of time in which tenants will be in accommodation will not change. Does this figure represent a once-off sum to effect the changeover or a recurring annual cost?

We raised the issue of the quality of accommodation on Committee Stage. The rental accommodation scheme, RAS, will deal with this issue but that will only be of benefit to those who are eligible under the scheme. I have spoken to dozens of people in receipt of the rent supplement whose basis for seeking a house from the local authority is the poor quality of their current accommodation. When these people secure local authority accommodation, somebody else moves into the inadequate accommodation and subsequently seeks local authority housing. It is a perpetual problem that must be addressed, although the Minister will probably say it is not a matter for his Department. Rent supplement should only be paid in respect of decent accommodation that provides people with adequate living conditions. That should be addressed in the Bill.

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