Seanad debates

Tuesday, 26 November 2019

Nithe i dtosach suíonna - Commencement Matters

Local Authority Housing Eligibility

2:30 pm

Photo of Damien EnglishDamien English (Meath West, Fine Gael) | Oireachtas source

I thank Senator Murnane O'Connor for tabling this Commencement matter. The Minister for Housing, Planning and Local Government, Deputy Eoghan Murphy, is unfortunately not available to attend today and has asked me to take this matter on his behalf.

Applications for social housing support are assessed by the relevant local authority in accordance with the eligibility and need criteria set down in section 20 of the Housing (Miscellaneous Provisions) Act 2009 and the associated Social Housing Assessment Regulations 2011, as amended. The 2011 regulations prescribe maximum net income limits for each local authority in different bands according to the area concerned, with income being defined and assessed according to a standard household means policy. Under the household means policy, which applies in all local authorities, net income for social housing assessment is defined as gross household income less income tax, PRSI and the universal social charge. The policy provides for a range of income disregards and local authorities also have discretion to decide to disregard income that is temporary, short-term or once-off in nature. I emphasise there is discretion at local authority level to make that call.

The income bands and the authority area assigned to each band were based on an assessment of the income needed to provide for a household's basic needs and a comparative analysis of the local rental cost of housing accommodation across the country. It is important to note that the limits introduced at that time also reflected a blanket increase of €5,000 introduced prior to the new system coming into operation. This was done to broaden the base from which social housing tenants are drawn, both promoting sustainable communities and also providing a degree of future-proofing.

Given the cost to the State of providing social housing, it is considered prudent and fair to direct resources to those most in need of social housing support. The current income eligibility requirements generally achieve this, providing for a fair and equitable system of identifying those households facing the greatest challenge in meeting their accommodation needs from their own resources. However, as part of the broader social housing reform agenda, a review of income eligibility for social housing supports in each local authority area is under way, as the Senator noted. It has been under way for some time and we had hoped it would be completed earlier this year. The review will not be fully completed until the impacts of parallel initiatives in terms of affordability have been considered as these will inform where the thresholds should lie. These parallel initiatives include, for example, the €200 million local infrastructure housing activation fund and the €310 million serviced site fund, which will deliver more affordable homes. It is open to all local authorities to put forward plans to access those funds. In addition, new agencies like the Land Development Agency and other key affordability initiatives such as the advancement of a national cost rental policy, together with the Rebuilding Ireland home loan and the help-to-buy scheme, will be factored in to ensure that supports are targeted where they are needed.

I emphasise that we are aware that a review of the thresholds was needed and we made a commitment to such a review in A Programme for a Partnership Government. The review is under way and one part of the work is complete but we have to complete the other parts as well. The Minister is hopeful that he will be able to bring forward a new social housing package in the weeks ahead, which will also deal with income limits. There is some discretion available locally if part of an applicant's income is temporary. The Senator gave an example of a family on €300 or €400 per week. A family with such an income would qualify under the scheme. The Senator may wish to highlight other cases but the family to which she referred would qualify.

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