James Browne (Wexford, Fianna Fail)

I am grateful to all Senators and everybody behind the scenes for facilitating today's debate on this urgent legislation in Seanad Éireann at such short notice. As Senators know, on 10 June 2025 the Government approved policy measures to provide for the enhancement of rent controls and tenancy protections from 1 March 2026. Last week, the Government also approved, as an interim measure, the provision of a two-month extension of rent pressure zones and the deeming of all areas of the country as a rent pressure zone from the day after the passing of this Bill until 28 February 2026, when the general legislation comes in to being.

On Tuesday the Government approved the publication of this Bill to implement this measure. We are moving fast because renters need protection and I am determined to make that happen. From the day after the passing of this Bill, with the co-operation of both Houses of the Oireachtas and enactment by President Higgins, the current rent pressure zones will apply right across the country, to include the 17% of tenancies not currently protected by rent pressure zone rules. This is an important measure.No rent increase can exceed 2% per annum pro rataor, if lower, the rate of inflation, as measured, unless certain exemptions apply. This is an immediate and concrete protection against high rent inflation. Rent increases outside of rent pressure zones are now at a level where the application of the rent increase restriction can be justified nationally.

We want to provide certainty, clarity and stability for the rental sector. The new policy measures announced last week to apply from next March aim to boost investment in the supply of homes. A new national rent control will come into effect on 1 March 2026, immediately following the expiration of rent pressure zones. Legislation will be introduced later this year to give effect to the new measures from March. The impending changes to rent controls have been informed by the findings of the Housing Agency review of rent pressure zones, the potential policy options identified and its recommendation to modify the operation of existing rent pressure zone rent controls. These changes will have a significant impact for our rental sector.

I accept there is a fine balance to be struck in our efforts. We aim to attract investment but we know tenants deserve and need fair treatment. We aim for tenancy protections that best suit tenants and landlords but we also need to deliver supply so those who are at home in families' box rooms can have somewhere to live. Let me be very clear: this is just one strand of a suite of measures, including planning extensions, planning exemptions and a tranche of further key decisions this week and in the coming weeks from the Government.

This Bill, along with the legislation which will operate from March 2026, includes a number of key changes and represents progress.We aim to strike a balance and to bring clarity and certainty. Without all of these measures, we cannot ramp up the supply as needed, and the Government is determined and ambitious to get this right. The Bill is a straightforward interim measure to extend all existing rent pressure zones and to deem all non-rent pressure zones to be rent pressure zones from the day after the passing of the Bill until 28 February 2026. Comprehensive rental reforms will be the subject of a further Bill to be introduced in the Houses of the Oireachtas for scrutiny and debate later this year.

As Senators can appreciate, the Residential Tenancies (Amendment) Bill 2025 and the upcoming changes to rent controls and tenancy protection feed into a broader suite of measures to increase housing supply. On Tuesday the Government approved the Bill's publication for progress through the legislative process in this House and Dáil Éireann on an urgent basis to facilitate early enactment. I thank Senators for their co-operation and the Joint Committee on Housing, Local Government and Heritage for granting a waiver on Tuesday from pre-legislative scrutiny of the Bill. I thank the committee's Chair, Deputy Carrigy. I hope that the informal briefing from Department officials was useful.

Given the risk of high rent increases for tenants outside of rent pressure zones who have not had their rent reviewed in the past 24 months, the intention is to seek the early signing of this Bill into law by the President. It is important for all tenants to be protected as soon as possible by the rent increase restrictions that apply in rent pressure zones. This Bill provides that necessary protection for all tenants from the day after its passing until 28 February 2026, when general legislation comes into being. Currently, 17% of tenancies are located outside of rent pressure zones.

I will briefly outline the provisions of the Bill, which contains five sections. Sections 1 and 5 contain standard provisions. Section 1 defines "Principal Act" to mean the Residential Tenancies Act 2004. Section 5 provides for the Short Title, commencement, collective citation and construction of the Bill. Section 2 amends section 20, concerning the frequency with which rent review may occur, of the principal Act to provide for the termination of bi-annual rent reviews outside of rent pressure zones, as the entire country will become a rent pressure zone from the day after the passing of the Bill.

Section 3 amends section 24, concerning areas deemed to be rent pressure zones, of the principal Act. Section 3(a) provides for a two-month extension until 28 February 2026 of the operation of rent pressure zones in the administrative areas of Cork City Council, Dublin City Council, Dún Laoghaire-Rathdown County Council, Fingal County Council and South Dublin County Council, which were deemed to be rent pressure zones under section 24B(1) of the principal Act. Section 3(b) provides for a two-month extension until 28 February 2026 of the operation of rent pressure zones in the local electoral area of Drogheda rural, which was deemed to be a rent pressure zone under section 24B(2) of the principal Act. Section 3(c) provides, through a new section 24B(3), for the deeming of any area that is not already a rent pressure zone to become a rent pressure zone from the day after the passing of this Bill until 28 February 2026.

Section 4 amends section 8(2) of the Residential Tenancies (Amendment) Act 2019 to provide for a two-month extension until 28 February 2026 of the operation of existing rent pressure zones that were designated under section 24A(5) of the principal Act.

The current rent control system is not optimal for renters, potential new landlords or investors and changes need to be made through this Bill and follow-up legislation later this year. The changes approved by the Government last week will provide significantly stronger protection for tenants and finely balance the interests of tenants with the need for further private investment in the rental market. The Bill before the House is balanced and takes into account the legal advices of the Attorney General. It is an interim measure and will safeguard tenants from high rent inflation during the period to next March. Go raibh maith agaibh.