Aubrey McCarthy (Independent) | Oireachtas source

I welcome the Minister to the House and congratulate her on her new role. I welcome the opportunity to address the vital matter of the accommodation recognition payment, ARP. This initiative, launched in July 2022, has proven to be a powerful and effective mechanism for providing support to beneficiaries of temporary accommodation, particularly those fleeing the war in Ukraine, under the temporary protection directive.

As Albert Einstein once said, in the middle of every difficulty lies an opportunity. When faced with the challenge of how to respond to our European neighbours having been invaded, Ireland created an ingenious scheme, a model of emergency accommodation out of largely unused housing stock, and that was in the middle of our own housing crisis. The ARP has shown that even in the face of immense challenges, innovative solutions that transform lives can emerge. Initially introduced to support those fleeing the war in Ukraine, this scheme has provided accommodation pathways for more than 50,000 people, proving that financial incentives, when paired with the goodwill of the Irish, can unlock housing opportunities that previously did not exist. As the Minister pointed out, many landlords who participated in the scheme were motivated primarily by a desire to help, yet the tax-free benefits of the ARP proved very significant in encouraging participation on a much larger scale. This combination of selflessness and practical support from the Government has resulted in thousands of people being accommodated and offers a model that I believe, as someone who is involved in the homelessness area, could be adapted to address Ireland’s ongoing homelessness crisis.

The ARP scheme is not just a short-term emergency response; it is evidence that alternative accommodation pathways can work well at scale. It has also demonstrated that people can be housed through creative, community-based housing solutions. We must bring the homelessness crisis into this debate. The ARP framework is evidence that we can provide housing for thousands. If adapted thoughtfully, the scheme could unlock thousands of additional homes, offering stability and dignity to those currently without shelter. Instead of limiting what has proven to be a working model, Ireland perhaps has the opportunity to expand it and turn a crisis-driven response into a long-term housing strategy. It is a stretch, but it could work.

The ARP scheme has been a wonderful initiative. As the Minister mentioned, it offers a tax-free payment to those hosting temporary protection beneficiaries and has enabled thousands of Irish households to open their doors and hearts to people in dire need. Yes, it has cost €256 million, but that is a fraction of what it would have cost if we had used emergency accommodation. It has helped more than 22,600 hosts and accommodated 51,300 individuals. As of March 2025, 20,000 hosts are availing of this payment, with 37,000 individuals in accommodation. Beyond these numbers, the ARP scheme has demonstrated real and meaningful success in both economic and social terms. By harnessing the goodwill of communities, it has provided an economically viable alternative to what the Government has been using as emergency accommodation, such as hotels, which has been significantly more expensive and less conducive to social integration.

One of the most significant successes of the ARP scheme, which the Minister already outlined, is how it activated previously untapped housing stock. A staggering 91% of hosts who joined the scheme had never rented out their properties, meaning much of this accommodation was not part of the private rental market. These properties were largely used for family purposes, lying outside of traditional rental supply. The scheme has shown that when structured correctly, incentives can encourage property owners to open their doors and provide essential accommodation to those in need. This is critical evidence that similar mechanisms could be used to support people experiencing homelessness, particularly when so many properties across the country lie underutilized.

While we celebrate the achievements of the ARP, there are challenges, but also opportunities, that demand our attention. The proposed extension of the scheme to March 2026, outlined by the Minister, is a welcome step in the right direction. I have concerns regarding the Government’s intention to reduce payments from €800 per month to €600 per month. I acknowledge that is not what the motion is about, but when the payment was €400, it did not work, so we need to be very careful. It is clear a reduction in the sum will place further strain on hosts already facing challenges, including financial costs and sharing space. As the Minister mentioned, the Irish Red Cross survey found that many hosts are motivated by altruism and wanting to help people but that financial support remains crucial to ensuring their ability to continue providing accommodation. If hosts feel unable to manage these risks, there is a risk we will lose capacity at a time when, as I know personally, we can least afford it.

I propose we consider expanding the ARP scheme to include individuals on the emergency housing list. This expansion could provide immediate relief to those in urgent need and encourage property owners to bring more stock into the housing market. We could perhaps leverage this scheme as a proactive solution to ease pressure on emergency accommodation. This approach would bridge the gap between temporary and long-term accommodation and is certainly worth considering. Aligning the scheme with Ireland's broader housing strategy, which I have spoken about in this House, would strengthen its impact and demonstrate clear leadership from the Government in addressing the housing crisis. These changes would not only amplify the scheme’s success but also help tackle housing shortages more effectively.

With more than 15,000 people currently in emergency accommodation, the need for bold, effective and outside-the-box thinking and action has never been greater. If a scheme like the ARP were expanded rather than curtailed, it could play a transformative role in alleviating homelessness. The infrastructure, willingness and financial framework already exist. We have proven that. Rather than focusing solely on emergency accommodation such as shelters and hotels, we have an example of how private individuals, as Senator O'Loughlin said, can become part of the housing solution if given a goodwill incentive. A cost-benefit analysis of the ARP scheme should be conducted. The Minister, Deputy Foley, said it costs €13 per day compared with €45 per day for State accommodation. Such an analysis would undoubtedly highlight the scheme's cost-effectiveness, reinforcing my case for it to be extended.

The ARP scheme has been a beacon of hope and has worked very well. It has demonstrated what can happen in Ireland when compassion and practical solutions come together. As the Minister stated, it is a testament to the generosity and resilience of the Irish people. Its success shows that if we address complex issues like housing and Ukraine, we can work collaboratively and make a difference. Let us not lose sight of the scheme's potential. Extending it to March 2026 is essential, but we must go further. Expanding the scheme to include people who are homeless, leveraging it for transitional housing and addressing integration challenges are major issues. I urge the Government to reconsider the proposed reduction in payments and ensure that hosts are fully supported.

Together, we can create a model that addresses immediate housing needs. It is a great opportunity to seize in order to make a difference in the area of housing. I spoke about this in 2016 in the Oireachtas, and said then that when we help others we find ourselves receiving gifts we never expected.