Dáil debates
Thursday, 13 October 2011
Departmental Expenditure
2:00 pm
Joan Burton (Dublin West, Labour)
I gave my view earlier. Rent supplement should be transferred to local authorities. It was meant as a temporary housing support for people in rented accommodation who lost their jobs. It has become a permanent feature of the system, encompassing 95,000 people and costing approximately €500 million this year. The other major problem with rent supplement is that it can constitute a severe employment trap, particularly for a couple with two or more children. To rent a house for such a family in many Dublin areas would cost €1,000. Somebody moving to work from rent supplement could lose €12,000 a year, whereas if he or she was on a local authority differential rent he or she would be able to predict roughly the level of rent proportional to his or her income. It is an important reason to reform the system and move it from social welfare to local authorities.
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