Joan Burton (Dublin West, Labour) | Oireachtas source

I propose to take Questions Nos. 83 and 84 together.

The Government has provided over €344 million for the rent supplement scheme in 2014, the purpose of which is to provide short-term income support to assist with reasonable accommodation costs of eligible people living in private rented accommodation who are unable to provide for their accommodation costs from their own resources.

There are approximately 76,000 rent supplement recipients, of whom over 50,000 have been in receipt of a payment for more than 18 months. Maximum rent limits are generally reviewed every 18 months. The most recent review was completed in June 2013, with revised rent limits introduced on 17 June 2013. Despite pressures on the social protection budget, the last review saw rent limits increase in line with market rents in some areas, including Dublin and Galway. with Dublin limits increasing by a weighted average of 9%.

A new rent limit review has commenced within the Department and will feed into the budgetary process. This review will involve a comprehensive analysis of information from a range of sources, including rental tenancies registered with the Private Residential Tenancies Board, the Central Statistics Office rental indices and websites advertising rental properties. In this regard, the current difficulties in the rental market and with rent supplement relate to a shortage of supply of suitable properties. I am concerned that raising rent limits as such is not the solution to the problem. It is likely to add to further rental inflation and impact not only on rent supplement recipients but also on many lower income workers and students who are paying their rents out of their private resources.

The Government has recently launched its construction strategy with the aim of increasing supply generally. In addition, the Minister of State at the Department of the Environment, Community and Local Government, Deputy Jan O'Sullivan, has set out a very clear objective for local authorities to release vacant local authority housing and NAMA units are also coming on stream. I am fully aware that in some areas, particularly urban areas, prospective tenants, including those seeking access to rent supplement, are finding it increasingly difficult to secure accommodation owing to reduced availability. We have made arrangements to allow customers of the scheme who are facing difficulties to bring their situation to the attention of staff in the Department's community welfare service, CWS, who have considerable experience in dealing with customers and will continue to make every effort to ensure their accommodation needs are met. Staff have discretionary powers to award a supplement for rental purposes in exceptional cases where it appears the circumstances of the case merit it.

The CWS, including through its work in the homeless persons unit and the asylum seekers and new communities unit, works closely with local authorities and other stakeholders to facilitate homeless persons in accessing private rented accommodation. Where possible, this ensures people are diverted away from homeless services and towards community-based supports. In addition and in view of the current supply difficulties, the Dublin Region Homeless Executive, in conjunction with the Dublin local authorities and voluntary organisations, has agreed a protocol with the Department in order that families at risk of losing existing private rented accommodation can have more timely and appropriate interventions made on their behalf. These operational arrangements are being put in place and it is expected that the initiative will be launched towards the middle of this month.

Additional information not given on the floor of the House.

The Department's strategic policy direction is to transfer responsibility for recipients of rent supplement with a long-term housing need to local authorities under the housing assistance payment, HAP, scheme. Officials are working closely with those in the lead Department of the Environment, Community and Local Government in piloting the HAP scheme in Limerick with further roll-out to selected local authorities during the year.

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