Charles Flanagan (Laois-Offaly, Fine Gael)

It will be a significant delay and we do not know when this commencement order will begin.

It goes back to my original point that it may have proved to be a hasty intervention on the Minister's part to tag on this new section. It was reported, and sources close to the Minister's office intimated it, that this prohibition on upward only rent reviews would be law by the middle of July. This, however, will not now happen because of a delay due to a difficulty arising from the Minister not knowing the measure's consequences. Earlier I pointed out unintended consequences that may well result in problems. Will the Minister inform the House what his revised timetable will be for this new legislation?

During the week, I spoke to a commercial tenant in my constituency who informed me he takes in less than the rent he is charged. That is before any overheads or staff costs are taken into account. Such is the nature of the economic climate that people engaged in business are suffering severely. Up to six main street commercial premises in Portlaoise have closed since Christmas, many of them due to the high rents payable to landlords.

Commercial tenants have made representations to me in the same manner as they have to Deputy Ciarán Lynch. I hope landlords will exercise a certain amount of realism in negotiations between all parties to revise rents in the context of the current economic climate. I have heard cases, as I am sure every Member has, of keys being returned to landlords due to the inability to pay rent or an increased rent from a rent review clause. I urge landlords to adapt to these economic realities, having regard to the fact that if they do not, there may not be an alternative tenant - hence closed premises may remain closed for some time with no rental income earned for the landlord.

I disagree with the Minister on the markets and those who have received legal advice on leases that have been agreed for some time. I can appreciate how, at the stroke of a pen through a ministerial order or the approval of the House, leases of considerable long standing could be set aside and parties sent back to the drawing board. While I accept the Minister claims the Attorney General has a difficulty with this area, I am not entirely sure about it.

Where stands the new initiative at this stage, having regard to the delay in introducing the promised ban on upward only rent reviews? I acknowledge the Minister has extended that to accommodate agreements for leases which have not been set in place. It is important for those watching this change that we introduce an element of certainty by flagging when the Minister anticipates the period for consultation might elapse. I hope it is not an indication on the Minister's part that the measure was less considered than it ought to have been. I hope those who look to this initiative to save jobs and maintain the viability of a business do not feel doubly let down because of the position regarding Deputy Ciarán Lynch's initiative or that the Minister's initiative is less than it was intended. I hope it is not just a bottle of smoke.

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