Dessie Ellis (Dublin North West, Sinn Fein) | Oireachtas source

For many years we have had a haemorrhage of people and families from rent supplement, RAS and the private rental market to homelessness. Recent legislation by the last Government has not stemmed this flow. The introduction of rules preventing landlords raising rents for two years and putting a moratorium of two years before another rise would be considered did not go anywhere near what was required. The ideological battle between Fine Gael and the ex-Minister with responsibility for housing, Deputy Alan Kelly, was very noticeable, with Fine Gael winning out. It was and still is clear that rent certainty was required, as well as an increase in rent supplement. The private rented sector is not fit for purpose in its current format and is actually contributing negatively to the housing and homelessness crisis.

At present there are approximately 6,000 homeless people in the country, 2,000 of whom are children. Most of them were previously living in the private rented sector and are now in hotels and bed and breakfast accommodation. According to a study commissioned by the Housing Agency in 2015, one of the most commonly cited reasons for family homelessness was lack of affordability in the private rented sector. Other common reasons were poor quality of accommodation in the private rented sector, that private rented property was to be sold or that the landlord wanted to move in.

This outlines a narrative of finance-related issues which, in part, are contributing to homelessness. If rent certainty is introduced, it will contribute in some part to an easing of the crisis. However, it is only one part of the solution. Rent supplement, which was meant originally to be a temporary measure, has been subsumed in HAP. Neither is adequate, and the supplement needs to be increased with a view to a long-term solution, leading to an introduction of rent regulations and the capping of rent subsidies to ensure rents demanded by landlords do not rise in tandem with an increase in the rent cap. Fine Gael's partners in the last Government also held this view but Fine Gael was ideologically opposed to it and stopped it last year. We are now a year on and rent prices have increased further. We cannot wait another month because the families who are looking to rent cannot wait.

As we all know, the price of renting has increased so much that it is now cheaper to have a mortgage than to rent. In my own consistency of Dublin North-West, the average rent for a three-bedroom house is €1,407 a month, whereas, for a 30-year mortgage at 4.3%, it is €1,029 a month, and even for a mortgage at 6.3%, it is €1,287. That is €1,400 a month before people pay for life's other necessities. It is scandalous and does not take into account that the ability to get a mortgage is beyond the capacity of the majority of families on the average industrial wage and is completely unachievable for any family on the minimum wage. To give these families a chance, a change in rent supplement needs to be made. That is why we must look beyond the private sector and towards Government and the councils to provide the long-term solution to this crisis.

We need to build more social housing which, in itself, will bring down rental prices. The introduction of rent certainty would allow for rent increases or decreases in line with inflation and tied to the consumer price index. We need to build and acquire more social housing to increase the stock, and the Bill before us will help that. Given our reliance on the private market for rental as well as to build social and affordable housing, the Government's last Bill means this will only apply to 10% of each scheme, which is scandalous. We should turn back the clock and look for 20% or 30%. The Minister must take this on board or we will be here in another year, arguing the same case because we will not be able to deliver enough social and affordable housing. The Government needs to be more imaginative.

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