Jack Wall (Kildare South, Labour)
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Question 428: To ask the Minister for the Environment, Heritage and Local Government the number of units rented through each local authority using the rental accommodation scheme system of leasing; if this has seen a decrease in the overall rental costs to his Department since the inception of the scheme; the cost of renting such properties to his Department under the rent subsidy scheme and the rental accommodation scheme; and if he will make a statement on the matter. [15216/08]

Batt O'Keeffe (Cork North West, Fianna Fail)
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All housing authorities have transferred cases from Rent Supplement to the Rental Accommodation Scheme (RAS) since the commencement of transfers in September 2005. To date, over 11,400 households with long-term housing need have been accommodated in either voluntary, or other social housing options or in private rented accommodation, with the latter meeting the needs of some 3,246 of these households, details of which are set out in the table.

RAS is at the mid-point in its initial implementation period and the experience to-date is that the level of rents payable under RAS is determined by negotiations between the landlord and the local authority, taking account of rent supplement levels and local market conditions. In negotiating with landlords to bring properties into RAS, local authorities obtain reductions on existing rents where possible. Since the commencement of transfers in September 2005 the pace of delivery has steadily increased and the level of expenditure increased accordingly from €0.723m in 2005, to €6.2m in 2006 and €27.384 m in 2007. €51m is being provided to local authorities for the current year for the scheme. Expenditure on the Rent Supplement scheme is a matter for the Department of Social and Family Affairs.

My Department is currently carrying out a Value for Money and Policy Review of the Rental Accommodation Scheme which is due for completion in May 2008. A specific aim of the review is to evaluate the operation of RAS in the light of the objectives set for it, including the financial arrangements under which the scheme operates, and set these against alternative social housing options and the rent for properties compared with the Department of Social and Family Affairs rent caps.