Dáil debates

Wednesday, 26 March 2025

Civil Law (Miscellaneous Provisions) Act 2022 (Section 4(2)) (Scheme Termination Date) Order 2025: Motion

 

8:15 am

Photo of Matt CarthyMatt Carthy (Cavan-Monaghan, Sinn Fein) | Oireachtas source

I move amendment No. 1:

To insert the following after "6th March, 2025":

": provided that this Order shall take effect only after the Civil Law (Miscellaneous Provisions) Act 2022 has been amended to provide for the Accommodation Recognition Payment (ARP) scheme termination date to be extended, only for the following:

— existing recipients with respect to the beneficiaries of temporary protection currently benefitting from the scheme, where those beneficiaries of temporary protection have satisfied a means test, similar to those applicable for other housing assistance payments;

— new applications who propose to host a beneficiary of temporary protection in their property, which is also their own primary residence, and who have not availed of the Rent-a-Room Relief scheme in the previous 12 months, ensuring that the ARP does not further distort the rental sector; and

— recipients who are not in receipt of any additional or 'top-up' payments from a beneficiary of temporary protection.".

I move the amendment mar, tá an scéim cóiríochta seo éagórach. Tá sé ag cruthú fadhbanna sa mhargadh cíosa. Theip ar an Rialtas aghaidh a thabhairt ar na fadhbanna seo agus, mar sin, ligfidh Sinn Féin amach inniu cad iad na hathruithe atá le déanamh. Sinn Féin has repeatedly raised its concerns about the Ukrainian accommodation recognition payment, both in relation to the unfairness inherent in the scheme and the impact that the scheme has on the private rental sector. Last year when there was a similar motion before the Dáil, Sinn Féin also put down an amendment to give the Government the opportunity to address those issues with the scheme. Unfortunately, in typical fashion the Government pushed ahead with the scheme as it was despite growing reports, even at that time, about the adverse impact it was having on the rental sector. Now, at the eleventh hour, days before the scheme is due to expire it brings forward another motion with just one hour of debate, which is quite scandalous, without addressing the serious flaws within the ARP. The truth is that the ARP is divisive, deeply unfair and it has to be ended in its current guise. The motion should only be passed, therefore, if the Sinn Féin amendment is passed because we cannot allow the current situation to continue.

At the beginning, it has to be recognised that this scheme was brought forward as an emergency measure to support those who opened up their homes to people fleeing war, and Sinn Féin commended all of those who opened their homes. However, we are now increasingly seeing that landlords in the private rental sector are availing of the ARP because in many areas it is financially advantageous for them to do so compared with renting to other potential tenants. They are guaranteed a lump sum monthly payment from the Government. They can get top-up payments from beneficiaries that are totally unregulated and have none of the obligations accrued that they would have for any other tenant. That puts other renters, including people who might be on lower incomes, at a severe disadvantage as the scheme incentivises landlords to rent their properties to Ukrainians, particularly in areas where rents would traditionally have been lower. Nothing encapsulates the haphazard approach of the Government than the actual rates. The accommodation recognition payment was originally paid at a rate of €400 per month. Then Government increased it to €800 per month but now it has been reduced to €600, so the approach has been confused, chaotic and uninformed by any analysis whatsoever of the impact on the rental sector. There are serious questions about the use of taxpayers' money on the scheme and why the payment was increased to €800 in December 2022. I hope the Minister will confirm today that she plans to carry out an assessment of the money spent on the scheme to date, because if she now believes the payment can be reduced to €600, people will rightly ask if there was ever any justification for having paid a rate of €800 per month since December 2022.

Until now there has been absolutely no acknowledgement from the Government of the impact of this scheme on the rental sector.

Last week, the Minister, Deputy Foley, confirmed to me in a reply to a parliamentary question that she had not sought any briefings, reports or analysis on the impact of the ARP on the rental sector and, apparently, is relying on a survey which was taken voluntarily instead. Given that this issue was repeatedly raised by myself and others, it is totally unacceptable no analysis of the impact of the ARP was carried out. In the same reply, the Minister stated categorically that the ARP was not interfering with the rental market, despite confirming she had no way of actually making that assertion. We are now told the Government believes a cut of €200 will reduce the potential impact on the rental market. Which is it? It is either impacting it or it is not.

The fundamental unfairness with the scheme, however, is the lack of means testing. There is no other housing assistance payment where the beneficiary does not have to satisfy a means test. A Ukrainian person housed under the ARP could be employed in a well-paid job, working alongside other people from anywhere else in the world, including Ireland, who have an equal need for housing but only one gets access to this unique support and the others do not. That is exactly the type of unfairness that winds people up and creates the tensions that, quite frankly, we could do without. It is putting other renters, including people who might be on lower incomes, at a severe disadvantage as the scheme incentives landlords to rent their properties under this scheme, particularly in areas with traditionally lower rents.

To compound problems, the Minister also acknowledged to me that her Department is aware that some of those who are receiving the ARP are also receiving top-up payments. The feedback I have received, including from landlords, is that this practice is, in fact, widespread and is further distorting the rental sector. The Minister shrugs her shoulders, says the legislation is silent on the matter and suggests it is a matter between the parties concerned. If top ups are not banned, the proposed rate reduction will not make any difference to the fundamental problems with the scheme.

Sinn Féin does not want any cliff edge that would put anyone at risk of homelessness. That is why we have been calling on the Government to address these issues since the last extension and why I have been calling on the Ministers to bring forward the proposed changes that are needed since January. We have always recognised - and it is important we say this clearly - that there is an important distinction to be made between those who are hosting families in their own homes and landlords in the private sector who are availing of the accommodation recognition payment. The Government needs to also recognise this because change is absolutely needed if the ARP is to be renewed for another year. I am asking all TDs today to support the Sinn Féin amendment to the motion before the House to only extend this scheme if the Government commits to, first, end the distortion of the private market by limiting new entrants to the ARP to primary residents - in other words, people hosting in their own homes; second, ensure there is an introduction of a means test for beneficiaries of temporary protection seeking to be housed under the ARP; and third, and importantly, banning the practice of top-up payments within this scheme. If the Government does not accept the Sinn Féin amendment, this House will have no option but to vote against the motion because we cannot stand over the current unfair scheme.

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