Cyprian Brady (Fianna Fail)

I, too, welcome the Minister of State and I warmly welcome the publication of this Bill, which has been a long time coming. The genesis of the Bill was the commitment given in Sustaining Progress to reform and develop the private rented sector. As a result of that the commission was set up, and it has done excellent work.

One word would sum up the Bill, and that is "balanced". It is balanced in that it takes into consideration the obligations on both sides of the landlord-tenant relationship. It is balanced in the duties of care put on both sides and in the effort it makes to sustain the private rented sector in encouraging people to become involved in it, either as tenants or investors. It must be remembered that it is the investors and the people renting out these properties who sustain the market and make premises available.

Most of us have spent a good deal of time in advice centres or clinics dealing with problems about tenant-landlord relations experienced by landlords and tenants alike.

I warmly welcome the Bill which updates and bolsters existing legislation. It protects both sides and gives an opportunity for disputes to be heard in a fair, impartial and expedient way. It also provides encouragement to people to become involved in the sector. I agree with Senator Brian Hayes that, in future, the rented sector will become more important and more relevant in terms of the population's housing needs. Although we are a country with a culture of home ownership we must examine the alternatives that are available. In most European countries the norm is for people to have long-term lease arrangements. The policies followed in recent years have provided an opportunity for people to own their homes. Banks of serviced land have been freed up and we have provided other incentives for people to buy their own homes.

A number of factors have influenced the property market. The current economic climate has led to an increased dependency on the rental market. Wider social issues must also be taken into consideration, such as what constitutes a family unit. Another factor is the increased mobility of people, particularly young people, in terms of employment and where they live. The population profile has changed enormously in recent times due to immigration and this has also had an impact on the provision of accommodation.

The Bill tackles a number of important areas, especially that of anti-social behaviour. As Senator Brian Hayes pointed out, section 197 deals comprehensively with this area. Dublin City Council is, perhaps, the biggest landlord in the country. I congratulate it on the improvements made in housing stock and how it deals with anti-social behaviour. Difficulties still remain in certain parts of the city. The legislation will provide local authorities with an opportunity to address particularly troublesome areas.

I also welcome the setting up of the private rented sector unit in the Department which will help to focus the minds of professionals on the implementation of the legislation, the allocation of resources, and draw on the expertise that is already available.

Senator Bannon's comments on the current housing position leads me to conclude that his scriptwriter is some two years out of date. The recent slowdown in the private rented sector is a direct result of the measures taken in recent years. As recently as this morning we had confirmation that the housing market has slowed down. This is due to decisions taken in the past two years by the Government. Supply has also increased which, in turn, has relieved pressure especially on first-time buyers who, because of previous high rents, had to move earlier than they would have wished. In some parts of Dublin the reduction in rents is as high as 20%. This has all contributed to the slowdown in the market. We must continue the implementation of such policies as these have proven to be effective.

Among other things, the Bill ensures security of tenure and puts obligations on both tenants and landlords regarding behaviour, the provision of adequate conditions and so on. The establishment of the board is welcome and the commission has done an excellent job. The Bill is closely based on its recommendations on which I congratulate Mr. Dunne and his team. The Department has also worked closely with the Attorney General's office and the Department of Justice, Equality and Law Reform on the Bill, which I am sure will prove to be most effective.

Any of the agencies working on the ground, and I have had dealings with Threshold, would say that when disputes arose between tenants and landlords there was no recourse other than to the courts, which, as we all know, is extremely confrontational and can prove to be an expensive business. At the end of the day, the only people who win in these cases are the lawyers. In addition to dispute resolution, the tenancies board will be responsible for matters such as research and the gathering of information.

I welcome the registration of rented accommodation. Absentee landlords have been a problem in every community in Dublin. Certain pockets of the north side of the city, such as the North Circular Road, have changed from being primarily owner-occupied to consisting almost totally of rented accommodation. The Bill will have greatest effect in areas such as this.

In addition to dispute resolution, the gathering of information in this area is crucial. The Department of Social and Family Affairs funds a significant number of rented dwellings in urban areas by means of the rent supplement. It is essential we have as much information as possible as, at the end of the day, taxpayers are paying these rents and it is crucial they get value for money.

Other welcome developments in the Bill include the minimum obligations imposed on both sides regarding issues such as maintenance, insurance and security of tenure. Insurance in the rented sector was always a problematic area. Anti-social behaviour is dealt with, as well as rent obligations, including rent reviews, arrears, and deposits. These matters are all dealt with comprehensively in the Bill.

In his opening remarks, the Minister of State, Deputy Noel Ahern, referred to the six week period in which a tenant can be asked to leave a rented premises for no reason. This is a fair and balanced provision. As other Members have said, the vast majority of landlords are ordinary, decent people. Due to the buoyant economy many ordinary families have invested in second properties, purely for investment purposes. The number of landlords owning one property has increased phenomenally in recent years. I do not agree that these properties have been bought for pension purposes. People now have the opportunity to invest to send their children to college and so on. We must keep control in this area.

The vast majority of people move into rented accommodation for a period of at least four years. Ten years ago we carried out a survey of apartments in Dublin city which showed that the average stay was just under two years. That has changed recently as apartment dwelling has become more accepted as a long-term option rather than a stopgap measure for a couple or young person who intend buying a house at a later stage. I consider a four year cycle for rent agreements to be appropriate.

I congratulate the Minister of State who has taken a particularly personal interest in the Bill. The experience he has gathered in the area he has served for many years is evident in the content of the legislation. I congratulate him on its introduction.