Dessie Ellis (Dublin North West, Sinn Fein)
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The rent supplement scheme, RSS and rental accommodation scheme, RAS, are two schemes which, despite their flaws and their large cost to the State, are holding housing at the brink and have been doing so for a number of years. We have never had such a great need for social housing, with figures on waiting lists as high as 98,000 and 124,000 or more in receipt of RSS and RAS payments. Without these schemes, due to the absolute refusal of this Government to provide real, sustainable public housing, we would not simply have a housing crisis but a housing catastrophe. It is for this reason I raise this very serious issue today.

Across the State and especially in Dublin, we are facing a crisis within a crisis. I refer to the problem of landlords who are not paying their mortgages and who, in doing so, are potentially jeopardising the housing of thousands of people. In the last few weeks, I have dealt personally with five families in Dublin who are facing eviction due to the repossession of their rented homes. The lenders want to sell and wash their hands of the properties and, in some cases, are forcing the landlords to evict the families before they take over, even though these families are paying and are up to date with their rent.

I spoke to a mother of two in Drimnagh who is 13 years on the waiting list and afraid to leave her home to speak to somebody in the council offices because she may return to find herself evicted. She is also afraid to sit in her house as she does not know what she will face when the knock comes to the door. Emma is in the rental accommodation scheme, RAS, and Dublin City Council promised her when signing up that she would not be allowed to go homeless. She is now facing that prospect but she should be guaranteed housing, as she was promised under the scheme.

To be fair to Dublin City Council, it wishes to carry out this promise, but how can this be done when social housing is in such short supply and funding is being cut? We need solutions to these problems. My colleague, Councillor Críona Ní Dhálaigh, has told me she believes that in her part of the city there are approximately 50 people in the early stages of what Emma is going through. The big solution is to provide sustainable public housing not endangered by the whims of the market, lenders or profit-driven landlords. The Minister of State knows that as much as I do. The more immediate solution is to force lenders to enter into a code of conduct with tenants, especially those with an assessed social housing need who may be particularly at risk of homelessness in the event of eviction. This should also include a recognition that tenants have paid deposits and made commitments which should be honoured by those in control of a property. Rent supplement and RAS tenants cannot afford to lose deposits and be thrown out on the street.

The Government must have a strategy for dealing with these grave problems and ensuring that people are not left homeless. We cannot pretend this is not happening. As we face increasing rates of repossession from banks and lending institutions, the problem will only become worse if nothing is done.

Jan O'Sullivan (Limerick City, Labour)
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The grounds upon which a tenancy in the private rented residential sector may be legally terminated are dearly set out in the Residential Tenancies Act 2004. The Act provides the main regulatory framework for the private rented residential sector and for the operation of the Private Residential Tenancies Board. The Act provides for security of tenure and specifies minimum obligations for landlords and tenants under a tenancy. In addition, the Act contains provisions relating to the setting of rent and rent reviews and sets out the procedures and notice periods that must be complied with when terminating a tenancy.

The ongoing development of a stable, well-regulated rented sector is a key goal for this Government and stability of tenure is fundamental to that goal. The legal framework set out in the Act marked a sea change in this regard and the guarantee of secure four-year tenancies, once the initial six-month probationary period has passed, apply regardless of whether the tenant is in receipt of rent supplement, has a tenancy under the Rental Accommodation Scheme or is not in receipt of any assistance from the State.

The maximum duration of a tenancy under the Act is four years, after which a new tenancy must be registered with the board. Where a tenant has been in occupation of a dwelling for a continuous period of six months and no notice of termination has been served in respect of the tenancy before the expiry of the period of six months, the tenancy continues in being for the remainder of the four-year period, and this is referred to in the Act as a Part 4 tenancy. A landlord may not serve a notice of termination on such a tenant except in very clearly defined circumstances, such as a failure by the tenant to comply with his or her obligations regarding the tenancy, where the landlord intends to sell the property within three months after the termination of the tenancy or where the landlord requires the dwelling for his or her own occupation or for that of a family member.

The Rental Accommodation Scheme, RAS, is an initiative announced by the Government in July 2004 to cater for the accommodation needs of persons in receipt of rent supplement, normally for more than 18 months and who were assessed as having a long-term housing need. One of the main features of the scheme is that local authorities in sourcing accommodation for these households make use of the private sector and enter into contractual arrangements to secure medium to long-term availability of rented accommodation. A residential tenancy agreement is entered into by all three parties, and as with other arrangements, the tenancy is governed by the Residential Tenancies Act 2004. Notwithstanding this, as RAS is deemed to be a social housing support, the local authority retains the responsibility to source further accommodation for a RAS household should the dwelling in which the household is living become unavailable through no fault of the tenants.

Dessie Ellis (Dublin North West, Sinn Fein)
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This is precise the problem we are facing. Many banks are seeking repossessions, with landlords beginning to hand over property. There is no way I can see where we can fulfil an obligation to get a new place for anybody under RAS very quickly, as there will be a lack of properties. Some figures have been released to Dublin city councillors indicating that the RAS cost €1 million more than is given to fund the scheme. Will the Minister of State confirm if that is true and is that the case in other local authorities? What happens if RAS properties cannot be found? Can banks, like Ulster Bank, be requested to keep tenants in situ, and can a code of conduct be put in place?

I spoke to people in Ulster Bank about two very serious cases I know about, with one involving a sheriff. A landlord has been served notice to vacate the premises, with Ulster Bank in turn informing the tenants and giving them the obligatory 130 days to vacate the premises. The problem is where will the people go. They have paid rent but they will now have to return to the local authority. Ulster Bank's argument is that a sheriff's notice has been served and vacant possession is required. The bank will not even speak to the tenants, despite every penny in rent having been paid. With the second case a landlord wants a family to vacate premises with 28 days notice. Ulster Bank has indicated that if a receiver is appointed, it can negotiate with the tenants. The bank cannot negotiate where the sheriff has been appointed.

It is outrageous and we should be trying to keep people in situ when they pay their way. The banks should talk to people and try to find every mechanism to deal with the issues. Families use local amenities, including schools, and we should try to keep people in their local areas. It is a major problem coming down the road.

Jan O'Sullivan (Limerick City, Labour)
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I thank Deputy Ellis as this is a real issue. I met representatives of the Irish Banking Federation recently because I was concerned about the role of receivers, in particular, and the federation has agreed to draft a rights document for tenants to ensure they know their rights in this context. It is important that the rights of tenants are maintained in these difficult circumstances, and I referred to how they are contained in statute.

I intend to accelerate the construction programme as soon as possible. We are in very difficult economic circumstances and budgets have been cut significantly, not just in the few years since I took this job but in the years before that as well. We need to begin constructing public housing as soon as possible, and I intend to do so when we can ensure funding exists for it. In the mean time we must use whatever mechanisms we have to protect the rights of tenants and ensure we use the supply of housing in the private sector, either through RAS or rent supplement. We have plans to bring the process under the remit of local authorities in the near future.

It is a difficult issue, particularly in cities like Dublin, which has supply concerns. I stress again that tenants have rights outlined in legislation and we want to ensure those rights can be protected. If people need information we are happy to supply it.