Dáil debates

Thursday, 12 July 2018

Topical Issue Debate

Social and Affordable Housing Funding

4:30 pm

Photo of Damien EnglishDamien English (Meath West, Fine Gael) | Oireachtas source

I thank the Deputy for raising this issue and for giving me the opportunity to clarify the position. On 1 April 2011, the Social Housing Assessment Regulations introduced a new standard procedure for assessing applicants for social housing in every housing authority. The regulations include maximum net income limits for each housing authority, in different bands according to the area, with income being defined and assessed according to a standard household means policy. Before the new system was put in place, there was considerable inconsistency in the approach taken by various local authorities. This was neither efficient nor fair and I imagine that is why the former Minister of State in this role, Deputy Penrose, made the change because it was not fair across the board and there were discrepancies in it.

The income bands, and the authority area assigned to each band, were based on an assessment of income needed to provide for a household's basic need plus a comparative analysis of the local rental cost of housing accommodation around the country. As a result, higher limits generally apply in the larger urban areas compared with other areas. This is the case in the Fingal County Council area, which has an income threshold of €35,000 for a single adult household. The €35,000 limit would correspond to a gross salary of more than €48,000 - which is some 30% above the average industrial wage. The limits also reflect a blanket increase of €5,000 introduced prior to the new system coming into operation in order to broaden the base from which social housing tenants are drawn and thereby promote sustainable communities. I agree with the Deputy that people should not be refusing jobs and that these limits should not be a deterrent to improving career or employment prospects. That is why the blanket increase was introduced.

Under the household means policy, which applies in all housing authority areas, net income for social housing assessment is defined as gross household income less income tax, pay-related social insurance, PRSI, and the universal social charge. Most payments received from the Department of Employment Affairs and Social Protection are assessable. The policy provides for a range of income disregards and housing authorities also have discretion to decide to disregard income that is temporary, short-term or once-off in nature. I am not familiar with the individual case the Deputy outlined but I will check to see is there any scope there. FIS may not be a permanent payment for the family, it depends on how long they have had it. In general, it is not often a permanent payment. Perhaps it could be considered on appeal as a temporary or once-off income.

Given the cost to the State of providing social housing, it is considered prudent and fair to direct resources to those most in need of social housing support. I am conscious that Deputy Bríd Smith is in the House and that she has also been raising this issue. For the past two years, much of the funding and resources available were directed towards social housing and the emergency accommodation for people who are homeless. We are trying to move this approach into the area of affordable housing and to concentrate efforts there also.

As part of the broader agenda, a review of income eligibility for social housing supports has commenced. The Housing Agency is carrying out the detailed statistical work on behalf of the Department and I expect the results of this review to be available for publication later in the summer. I share the Deputy's frustration because I would like to have had this review completed before now. The matter has been raised by several Members, including Deputies Brendan Ryan and Bríd Smith and others. I committed to having this done. We should have that report with us before the end of the summer. One matter that will be examined as part of the review is the possibility of structuring social housing support in a way that improves the overall efficiency and equity of the system and does not discourage people from improving their circumstances when it comes to employment or career prospects.

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