Written answers

Tuesday, 13 June 2006

Department of Environment, Heritage and Local Government

Departmental Schemes

9:00 pm

Photo of Damien EnglishDamien English (Meath, Fine Gael)
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Question 105: To ask the Minister for the Environment, Heritage and Local Government the progress to date of the rental accommodation scheme; if he has received representations from local authorities to increase the maximum rent offered in areas where rents have risen significantly; if he will grant such increases; and if he will make a statement on the matter. [22544/06]

Photo of David StantonDavid Stanton (Cork East, Fine Gael)
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Question 154: To ask the Minister for the Environment, Heritage and Local Government the number of people who have been housed to date under the rental accommodation scheme in the years 2005 and to date in 2006; the amount expended in the scheme to date; and if he will make a statement on the matter. [22469/06]

Photo of Noel AhernNoel Ahern (Dublin North West, Fianna Fail)
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I propose to take Questions Nos. 105 and 154 together.

Under the Rental Accommodation Scheme (RAS), local authorities are providing accommodation for certain recipients of SWA rent supplement who have been assessed as having a long-term housing need. The RAS is an additional housing option and eligible persons can indicate their preference to be accommodated by local authorities under the RAS or social housing, or to be considered under both.

The initial project to transfer rent supplement recipients of 18 months or more continuous duration is due to be completed by the end of 2008. The implementation of the RAS is a collaborative project between my Department, local authorities, the Department of Social and Family Affairs and the Community Welfare Service of the Health Service Executive.

Roll out commenced in an initial group of lead authorities, namely Dublin, Galway and Limerick City Councils, South Dublin, Donegal, Offaly, Westmeath County Councils and Drogheda Borough Council. In addition, the Cork County authorities Clare, North and South Tipperary, Fingal, Dún Laoghaire Rathdown, Galway, Louth, Laois, Longford Kilkenny, Meath Monaghan, Wexford, Wicklow, Leitrim County Councils and Waterford and Cork City Councils are also now implementing RAS. These authorities collectively cover 84% of the transferable cases. All local authorities are due to commence work on the RAS by mid-year.

The total cost of the scheme to date is €1.84m of which €947,000 has been spent in the current year. €19 million has been provided to support the implementation of the scheme in 2006. At end March 2006, 60,522 households were in receipt of rent supplement, with 33,000 for 18 months or more. The progress in meeting the long term housing needs of rent supplement recipients under the RAS is evident in the stabilisation of the RAS target group numbers since September 2005, notwithstanding an upward trend in the overall number of rent supplement recipients over the same period. Over 1,200 cases have been transferred to RAS since the initial transfers in September 2005. A further 770 households which were recipients of Rent Supplement have been provided with local authority housing. The aim is to have 5,000 cases transferred to the RAS by the end of the year.

A further 6,000 prospective RAS households have had their cases reviewed. Work is ongoing on interviewing tenants, the inspection of properties and meeting and negotiating with accommodation providers. In relation to rent feedback, indications from some local authorities are that there can be difficulties, at times, in finding good quality alternative accommodation, within rent supplement limits for single persons and couples without children.

Changes to rent supplement levels are a matter for the Minister for Social and Family Affairs who recently indicated that he will be reviewing the current levels of rent limits later this year in order to determine what limits should apply from January 2007 onwards. I understand that the review will take account of prevailing rent levels in the private rented sector generally, together with detailed input from Health Service Executive on the market situation within each of its operational areas. The review will also include consultation with my Department and voluntary agencies working in local areas which will also assist the transfer of existing rent supplement recipients to RAS. The Minister has indicated that he intends that the new rent limits will reflect realistic market conditions throughout the country and that they will continue to enable different categories of eligible tenant households secure and retain suitable rental accommodation to meet their respective needs.

Implementation of the scheme will accelerate as local authorities procure new accommodation through the development of new public private partnership (PPP) arrangements and through partnering arrangements with the Voluntary and Co-operative Housing sector.

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