Pat Rabbitte (Dublin South West, Labour)
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Question 19: To ask the Minister for the Environment, Heritage and Local Government the consideration that has been given to the policy implications, the social housing implications and the cost implications of rehousing tenants of the social housing leasing initiative when the leasing period of these privately owned properties expires; and if he will make a statement on the matter. [22250/10]

Michael Finneran (Roscommon-South Leitrim, Fianna Fail)
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The issue of re-housing tenants where a lease expires is not a new one. Under the Rental Accommodation Scheme (RAS), which has been in place since 2004, contracts are usually for a period of 4 years. The experience to date, under the RAS, is that the vast majority of contracts are renewed at the end of the contract period and in current market conditions the new rent agreed is generally lower than in the original availability agreement.

Under the leasing initiative, the lease is for a longer period than for RAS. The minimum lease period in respect of privately owned properties is ten years and it may be up to twenty years. At the end of the lease period there will be a number of options available to the local authority to meet the social housing needs of the household. These include, renewing the lease, purchasing the unit (if an option to purchase clause has been included in the lease agreement or if the owner is willing) and taking it into social housing stock, providing the household with alternative accommodation suitable to its needs or supporting the household to purchase another dwelling under the Incremental Purchase Scheme.

Within a broader policy context the housing authority, in planning for the end of the lease period for properties in a particular area, has to consider the balance of social housing demand and supply in the area and have regard to the principles of sustainable communities. I am satisfied that the range of options available provide the necessary flexibility to enable housing authorities to meet the needs of individual households in a fair and cost effective manner and to discharge their broader responsibilities for providing social housing support in their functional areas.