Malcolm Noonan (Carlow-Kilkenny, Green Party) | Oireachtas source

Before I come to the scripted closing remarks, I acknowledge the issues in both Clogherhead and Carrigaline. Within the comprehensive review of the rental sector, we will work with the Deputies opposite to try to address these two areas.

In terms of the rental increase that Deputy Ó Broin spoke about, it is the case that landlords can charge market rents in both areas. There is the ability for people facing large increases to bring a case to the Residential Tenancies Board and if the RTB finds in their favour, it can levy a significant penalty.

I took a glance at the Threshold report just this morning and there is no doubt it sets out the stark challenges. I agree with the Deputy that the Government is delivering on affordable, cost rental and social housing. We all agree that the increased supply of housing, in particular affordable, cost rental and social, will over time reduce rent pressures generally, and there has been some good news on commencements again today.

Deputy Ó Murchú referred to the tenantin situscheme. It is a good scheme and it has had good uptake across the country, thanks to the proactive approach of local authorities.

As I have outlined, the Government does not oppose this Bill. However, it must again be highlighted that, as currently drafted, the Bill has a number of technical and practical shortcomings which, if enacted, would have serious ramifications. I accept that the Bill is put forward in good faith and I am sure the Deputy will accept that the implementation of the legal provisions to control rents must be above political influence, particularly in the context of boundary changes to electoral areas. The Government is happy for the Bill to proceed to pre-legislative scrutiny so that issues arising with its provisions can be carefully examined and the new Carrigaline LEA may well fully satisfy the criteria for RPZ designation in the future.

Section 2 of the Bill would have impacts for both Cork city and county councils, reaching further than I think the Deputy himself intends. As I said, the Cork boundary alteration process began in January 2015 and concluded in December 2020, a period of six years, and was a considerable logistical exercise that required careful evaluation and planning. The boundary alterations had major consequences for the operational arrangements of the local authorities and human resources and financial adjustments between local authorities, transfer of land and property and the transfer of rights and liabilities. The boundary alterations also required changes to the delivery of the full range of local authority services, such as housing, planning, road transportation, fire and emergency services, economic development, enterprise, recreation and so on, and required provisions to be made for the continuance of contracts and legal proceedings, application of development plans and local area plans, and requirements for planning applications, development contributions schemes, and so on, made by Cork County Council in respect of the transferred land area and the main revenue collection, with outstanding arrears of rates, housing rents and loans continuing to be payable to Cork County Council, and changes to the register of electors in polling districts. The Bill, if enacted, would have serious ramifications for the two local authorities involved and this would cause significant disruption to the operation of Cork city and county councils. Again, it is not something that the Deputy would intend to happen.

Since coming into office in 2020, the Government has sought to enhance rent predictability measures to improve affordability in the private rental sector. The Residential Tenancies (No. 2) Act 2021 introduced measures in July 2021 to extend the operation of RPZs until the end of 2024. The designation of all existing RPZs has also been extended until 31 December 2024. The Act provides that rent reviews outside of the RPZs can until 2025 occur no more frequently than biannually. This provides rent certainty for tenants outside of RPZs for a minimum of a two-year period at a time. The Act also introduced measures to better protect tenants with affordability by prohibiting any necessary rent increases in an RPZ from exceeding general inflation as recorded by the harmonised index of consumer prices.

I want to reassure the House and renters that the Government is taking measures that will deliver and make a very real difference in terms of housing affordability and quality of life. The myriad of actions committed to under Housing for All, which are supported by an unprecedented investment of in excess of €20 billion over the next five years, are having a positive impact and will grow in the short, medium and long term. Housing for All is a radical plan that sets out four pathways to a sustainable housing system. The updated Housing for All action plan at point 2.1 sets out a review of the operation of the private rental sector and a report on policy considerations ahead of budget 2024. My Department has commenced its review and this will involve consultation with public stakeholders in the sector, beginning this week and running for four weeks. The review will take into account the significant regulatory changes in the past several years and the Government will consider acting on its recommendations. The review will include a thematic review of the principal and relevant elements of the rental market, including the implementation of rent controls, and its conclusion will be utilised to inform the future policy direction of the rental market. The review will draw conclusions on how our housing system can provide an effective, affordable, viable, safe and secure framework for both landlords and tenants.

Again, I want to give assurance to the Deputy that we will work across the House to try to address these areas. I again thank the Deputy for bringing forward the Bill.

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