Simon Coveney (Cork South Central, Fine Gael) | Oireachtas source

I am afraid it is not. People are trying to exaggerate for effect. We have said that we will continue to respect what is in place at the moment, a 24 month rent review requirement until the next review so nobody's circumstances are changed in terms of when the next review takes place. Only after that takes place will limitations of the rent pressure zone apply and annually after that.

Amendment No. 54 provides for an additional obligation on a landlord at the beginning of a tenancy to provide a tenant with details of the previous rent under a tenancy, and a statement as to how the rent has been calculated under section 19(4), so that a tenant can ensure that his or her rent complies with the legislation. Opposition amendment No. 1 to Government amendment No. 54 provides that, in addition, the landlord should provide the tenant with a certificate from the RTB that the rent is in compliance with the Act. The RTB registers over 100,000 tenancies a year. That does not take into account the numbers of rent reviews that would arise within tenancies. The resources required to allow the RTB to check each rent increase would be prohibitive. I believe that by providing the tenant with the appropriate information, these provisions will be enforced and disputes taken to the RTB where necessary. Therefore, I do not accept these amendments.

Government amendment No. 67 makes a similar amendment to section 22 of the 2004 Act to provide that when a landlord is serving a notice of new rent, the tenant is informed as to how the rent is calculated having regard to section 19(4) and whether the landlord is claiming that any exemptions apply. Opposition amendment No. 1 to Government amendment No. 67 provides that, in addition, the landlord should provide the tenant with a certificate from the RTB that the rent pressure zone measures do not apply to the dwelling. As I mentioned earlier, the RTB registers over 100,000 tenancies a year. That does not take into account the numbers of rent reviews that would arise within tenancies. The resources required to allow the RTB to check each rent increase would be prohibitive. I believe that by providing the tenant with the appropriate information, these provisions will be enforced and disputes taken to the RTB where necessary. Therefore, I do not accept this amendment.

Amendment No. 111 makes a consequential amendment to section 115 of the 2004 Act relating to disputes brought by a tenant to the RTB regarding the setting of a rent. Amendment No. 113 is a consequential amendment to provide that the making of reports under section 24A will be a function of the board. Finally, in recognition of the urgency of the problems that we are facing, amendment No. 1 provides for the commencement of these provisions on the day following the passing of this Bill. It also provides for the commencement of Part 5.

Amendment No. 56 proposes to delete section 19(2)(b) of the 2004 Act. Section 19(2)(b) provides that a reference to the "setting" of a rent under the Act is a reference to both setting the rent at the beginning of the tenancy and at each review. This is an important provision as it is linked to section 19(1). Section 19(1) provides that in setting the rent, a rent may not be set that is more than the market rent. By deleting section 19(2)(b), a landlord could set a rent, by way of review, in excess of the market rent. While I understand that this is not the intention of the amendment, it would be the effect and therefore I do not propose to accept it. It is important that the rent may never be increased above market rent.

Amendments Nos. 61 and 66 propose that the Minister, within three months, brings reports to the Dáil on rent controls, security of tenure and an expansion of social and affordable housing. Under pillar 4 of Rebuilding Ireland: Action Plan for Housing and Homelessness, on the strategy for the rental sector, the Government has set out a practical and readily-implementable set of actions to create a functioning and sustainable housing system. Taken together, and vigorously implemented, the proposals in the action plan and, more particularly, the strategy will deliver a strong viable and attractive rental sector that delivers affordable and high-quality accommodation. The proposals in the action plan and the strategy set out the Government’s position and future plans on rent predictability, security of tenure and social housing. Therefore, I do not believe any further reports are necessary in that context.

Amendment No. 57 seeks to alter the definition of market rent under the 2004 Act. Under the current law, landlords may not charge more than the market rent for a dwelling under the Residential Tenancies Act. Market rent is defined as the rent a willing tenant would give and a willing landlord would take for the dwelling concerned, having regard to the other terms of the tenancy and the letting values of dwellings of a similar size, type, and character and situated in a comparable area. This is a robust definition, which is enforceable having regard to the RTB rent index. I do not propose, therefore, to accept this amendment.

Amendment No. 62 proposes to give a tenant 180 days - six months - notice of a new rent, rather than 90 days. The provision to increase the notice of new rent from 28 days to 90 days was introduced last December in the Residential Tenancies (Amendment) Act 2015 on foot of a recommendation in the DKM report, Rent Stability in the Private Rented Sector. I am of the view that a 90-day notice period is a balanced and proportionate measure, In such circumstances, I do not propose to accept that amendment either.

That is a pretty long submission-----

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