Simon Harris (Wicklow, Fine Gael) | Oireachtas source

I am actively working to address the supply of student accommodation. Indeed, that is probably an understatement. A unit has been established within my Department and there is really good engagement going on with both the traditional and the technological universities. We all know the challenges involved. The increasing costs of construction and financing are impacting on viability and as a result, a number of universities made decisions to pause accommodation projects. In response to these challenges, on 29 November last I received Government approval on both short- and medium-term policy responses. These are landmark policy responses because for the first time the State will provide financial support for the construction of student accommodation. It is right and proper that the State does this. The interesting question is why it had not been done before, in the history of our State. It is important that the State is much more hands on.

In the short term the Government has approved funding to support the development of 1,065 beds for students at the University of Limerick, Dublin City University, Maynooth University and the University of Galway. In addition to these, we are now working with University College Dublin, UCD, Trinity College Dublin, TCD, and University College Cork, UCC, on proposals they are bringing forward. It is interesting that the decision of 29 November seems to have whetted the appetite as well. These proposals are in addition to the 1,794 student accommodation beds delivered last year. A further 929 beds are due to open in Cork and Galway before the start of the next academic year in September.

In addition to this, I am also informed that there are 2,057 additional beds currently under construction through private developments. In addition to stimulating purpose-built student accommodation by higher education institutions, my Department is encouraging the bringing on stream of additional units through minor capital grants through the promotion and utilisation of the digs rent a room scheme, which I believe is working for more than 1,000 students. The recent extension to the rent a room scheme means income generated is now disregarded for social welfare and for student grant assessment purposes which was a change I committed to making as well. This week approval was given to disregard this income for medical card assessment purposes and also to allow local authority tenants to access the scheme.

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