Dáil debates

Thursday, 5 May 2022

Ceisteanna ar Sonraíodh Uain Dóibh - Priority Questions

Housing Provision

10:40 am

Photo of Mattie McGrathMattie McGrath (Tipperary, Independent)
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53. To ask the Minister for Housing, Planning, and Local Government if he will increase the current income limits to qualify for social housing immediately given the ongoing rising inflation and difficulties being experienced in meeting the rising costs of rent within the current income limits; and if he will make a statement on the matter. [21949/22]

Photo of Mattie McGrathMattie McGrath (Tipperary, Independent)
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Will the Minister of State increase the current income limits to qualify for social housing immediately given the ongoing rising inflation and the difficulties experienced in meeting the rising costs of rent within the current income limits? Will the Minister of State make a statement on the matter, lena thoil?

Photo of Peter BurkePeter Burke (Longford-Westmeath, Fine Gael)
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I thank the Deputy for his question. Applications for housing support are assessed by the relevant local authority in accordance with the eligibility and needs criteria set down in section 20 of the Housing (Miscellaneous Provisions) Act 2009 and the associated social housing assessment regulations. The regulations prescribe maximum net income limits for each local authority in differing bands according to each area concerned, with income being defined and assessed according to a standard household means policy.

The income bands and the authority area assigned to each were based on an assessment of income needed to provide for a household's basic needs, plus a comparative analysis of the local rental cost of housing accommodation in the country.

A blanket increase of €5,000 was introduced prior to the new system coming into operation.

Housing for All - A new Housing Plan for Ireland, was published in September 2021, as the Deputy knows, and was part of a broad suite of social housing reforms committed to reviewing income eligibility for housing. The review, which examined the efficiency of the current banding model and income limits applicable to local authorities, has been completed and the Minister is currently considering its findings and expects to make a decision shortly on the recommendations.

10:50 am

Photo of Mattie McGrathMattie McGrath (Tipperary, Independent)
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There is a state of disconnect in respect of the current income limits to qualify for social housing. The Tipperary County Council cap is €25,000 for a single person and €27,500 for an average family comprising two adults and two children. These figures have not been reviewed since 2011. Given the significant increase in rent, and the massive rate of inflation and increase in the cost of living, it is simply not in any way realistic to expect a family of two adults and two children to meet their housing needs and living expenses on an income of €27,500 per year. It is just not possible. Will the Minister review this? He said he has carried out a review, but when will we see it? This is causing considerable problems, especially given that the cost of renting an average four-bedroom house in County Tipperary is approximately €1,200 per month., meaning that a family with an income of €28,000 is expected to pay 51% of their income towards the rental of a property. This is just not possible. It is inhumane and should not be accepted. The review is eagerly awaited.

Photo of Peter BurkePeter Burke (Longford-Westmeath, Fine Gael)
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I hear the points made by the Deputy. That is why the Department and Minister have initiated a review under Housing for All. It also includes the context of the wider global interventions we are making in housing from the record level of social housing construction to the affordability measures from direct purchase and shared equity and our new cost-rental model, which will be a game changer in terms of giving people secure tenure below market rental rates. All of those interventions have to be judged with this review.

We should consider the scale of Housing for All. There will be €4 billion in multi-annual funding for constructing a record level of housing. The Minister has to base that on the increase in rents which are capped by the new interventions and a number of items of legislation we introduced to protect renters throughout the Covid pandemic and ensure they would not be evicted. The review will be judged on shortly.

Photo of Mattie McGrathMattie McGrath (Tipperary, Independent)
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Some of the NGOs come up with acronyms. Housing for All is a totally inappropriate name. In the face of significant increases in rent across County Tipperary and, as I said, a considerable increase in the cost of living, the income limits are wholly inappropriate. I call on the Minister to act as a matter of urgency. We keep talking about aspirations and good intentions, but they will not house people. People cannot afford their rent and cannot avail of HAP.

According to information on daft.ie, just 60 properties are available to rent in the entire county of Tipperary, from Carrick-on-Suir to Lorrha. Tipperary is a huge county. There are only four properties available in my town of Clonmel. There are 3,521 on an approved housing list waiting for housing in Tiobraid Árann. As I said, people cannot get places to rent. It is a huge problem and needs to be dealt with. The national average listed rent is now €908, an increase of 61% from the lowest rate. The property rental crisis is now at its worst level ever. My office and every other Teachta's office is overrun with people and we cannot do anything for them. The new strategy is called Housing for All, but housing for who and when? Cad a dhéanfaimid feasta gan adhmad, nó cad a dhéanfaimid feasta gan teach?

Photo of Peter BurkePeter Burke (Longford-Westmeath, Fine Gael)
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Housing for All is a very appropriate name because, in the context of a comprehensive societal approach, it is important that we have streams to have a record level of social, affordable and private housing. Many people in our society are unable to reach the threshold to get a mortgage. That is why we have a record level of affordable housing investment to meet that need. Housing for All is the most appropriate name for a document to capture society and respond to the needs of the demographic change in society I can ever see. There is investment behind that. As I said, the review has been completed. The Minister is assessing it and will make decisions in the context of the record levels of affordable housing that are being provided to the State, as well social housing. That is what the document will be judged on.