Mick Wallace (Wexford, Independent)
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100. To ask the Minister for Social Protection her plans for a review of the current system of rent supplement in view of rising rental prices; and if she will make a statement on the matter. [41699/14]

Mick Wallace (Wexford, Independent)
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Supply is a problem the Government has not addressed in a serious way. It is a very serious problem, probably one of the most difficult facing the State, but it is not difficult to understand what is happening. The question relates to the levels of rent supplement the Government is prepared to offer. It has refused to build social housing, turned to the private market and offers rent supplement that is not high enough. As a result, it is driving people into poverty and homelessness. This is not difficult to understand; it is logical. What, in God's name, is the Department going to do about the fact that existing rent supplement levels are driving people into poverty and homelessness?

Kevin Humphreys (Dublin South East, Labour)
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I will try to answer as many questions as I can directly. This question follows on from Deputy Thomas P. Broughan's question.

The Department is undertaking a review of rent limits. An analysis shows that the impact of increasing limits will yield only a very marginal increase in available supply for rent supplement recipients, with little or no new housing available to new recipients. I will continue to keep this matter under review. I am acutely aware of the difficulties people are experiencing in maintaining affordable rented accommodation in areas of high demand in the current market, including those in receipt of rent supplement. However, raising rent limits may not be the solution to the problem, as it is likely to add to further rental inflation and could impact not only on rent supplement recipients but also many lower income workers and students.

I assure the Deputy that officers administering rent supplement throughout the country have considerable experience and make every effort to ensure accommodation needs are met, including through the use of their discretionary statutory powers, as necessary. The Department has sent a letter reminding staff of the discretionary powers available. In the light of a particular concentration of the homelessness problem in the Dublin area, the Department has agreed a tenancy sustainment protocol with the Dublin local authorities and voluntary organisations to support families on rent supplement who are at risk of losing their accommodation. Since the launch of the protocol in 2014, over 160 families have had their rent supplement claims revised by the Department which is examining the need for such protocols in other areas.

I agree with the Deputy that increasing housing supply is the real answer. We must focus on building social housing across the country, particularly where there are key demands. I know that the Deputy's constituency is probably suffering the same problems faced by my constituency in Dublin. That is why, as I outlined to Deputy Thomas P. Broughan, money has been made available in the budget - some €2.2 billion is being put in place in the next three years. Representing an inner city community, I am acutely aware of the demand for social housing and driving this home is top of my priorities since I recently became a Minister of State. I thank the Deputy for raising the issue.

Additional information not given on the floor of the House.

Increasing housing supply and the reactivation of construction activity is a critical issue for the Government and key to restoring stability to the rental market. In this context, it should be noted that the Government has recently launched the Construction Strategy 2020.

As part of budget 2015, the Government also announced significant capital investment of over €2.2 billion for social housing in the next three years. In 2015 over €800 million will be invested in a range of housing programmes, representing the first major investment in housing since 2009. My colleague, the Minister for the Environment, Community and Local Government, Deputy Alan Kelly, is also due to publish a social housing strategy shortly. This will propose a range of approaches and reforms that are innovative and challenging and will provide a basis for an improved and sustainable approach to the provision of social housing supports in Ireland.

Mick Wallace (Wexford, Independent)
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If the Government ever gets around to building social housing, it would be a big help, but it is two years away. In September alone, 45 families became homeless. We must deal with the people who are most vulnerable, given that this is supposed to be the Department's priority. Why does the Minister of State not have a chat with the Minister for Finance? NAMA was set up in order that we would not flood the market with too many properties too soon that would be sold too cheaply, but that is exactly what has happened. Big blocks of houses and apartments have been sold to speculators. What are they doing with them? They are banking them; they have become the new landlords. As there are not very many of them, it is easy for them to form a cartel, which is one of the main reasons rents are rocketing in places such as Dublin. There are too many rental properties in the hands of too few people who bought them at rock bottom prices because the Government decided to sell off NAMA assets at well below cost of most of this property and allowed the banks to do something similar. As it has added to the problem, rent supplement is worth bugger all to the many who are trying to find a home because it does not meet the rent charged. The Government can talk about building social housing, which is great as we want it to build it, but what is it going to do to prevent homelessness in the meantime, in the next two years?

There were 45 families in September. How many will there be in October, November and December?

Kevin Humphreys (Dublin South East, Labour)
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The budget provided €344 million for that area. I do not call €344 million bugger all. There is, however, a real problem and we have to explore different ways of addressing it. One of the strong ways of engaging is through the local authorities. Too many homes belonging to local authorities are boarded up and it has been a key priority over the past weeks and months to ensure homes that have been blocked up or steel framed by local authorities are put back to use. Prior to moving Departments to become the Minister for Education and Skills, Deputy Jan O'Sullivan made substantial funds available as the Minister of State at the Department of the Environment, Community and Local Government, as has the Minister for the Environment, Community and Local Government, Deputy Alan Kelly. We are following that up with the local authorities to ensure homes that are currently boarded up come on stream.

It is true that we need to consider short, medium and long-term options. I want to see a concentration in the medium term on provision of affordable social housing across the country. The beginning of that can be seen in the recent budget. I am aware that Deputy Wallace has strong views on this matter, similar to mine, but I want to make sure this is delivered on. I believe the Deputy will see it being delivered in the coming months.

Mick Wallace (Wexford, Independent)
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The Minister of State said that local authorities need to deal with units that are boarded up. It would be great if they could do so but, to take Wexford as an example, in 2008 Wexford County Council received €26.5 million to deal with issues like boarded up units but in 2012 it received €1.6 million. What can it do for the 4,000 people on the waiting list for social housing in Wexford with an allocation of €1.6 million to deal with its housing problems? There is no point in giving out about the local authorities if they are completely at the mercy of central government for funding. The situation has deteriorated over the past 30 years. For practical purposes, local authorities do not really exist in Ireland at present because they have been drained by central government. We have the most centralised governance in Europe. Our local authorities no longer really function because they have been stripped of their powers and finances. It would be great if the Government funded local authorities to deal with the problems on their doorsteps because they know best about what is facing them.

Kevin Humphreys (Dublin South East, Labour)
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I do not want to concentrate too much on one specific area because a number of issues needs to be addressed. Certainly voids are an element, however. I do not like using the word "void", which is a technical term employed by local authorities. These are boarded up homes. The local authorities will get their share of the €2.2 billion that is being put into the situation. I recognise that people do not like to hear money is being put into position but we want to ensure that we get good quality homes back on stream as quickly as possible. I would be interested in sitting down with Deputy Wallace to discuss how we can ensure local authorities deliver in this area. I am doing this in my own local authority because I am sick and tired of seeing what I regard as good quality homes with steel shutters while people are waiting the housing list for lengthy periods. I am concentrating on dealing with that issue in my own community and area. We need to focus on this issue because the local authorities have to deliver. There is nothing more frustrating than to be on the housing list and to see units with steel shutters.

Michael Kitt (Galway East, Fianna Fail)
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As Deputy McConalogue is not present to put Question No. 101, we will proceed to Question No. 102.