Written answers

Tuesday, 20 September 2011

Department of Social Protection

Social Welfare Benefits

9:00 pm

Photo of Aodhán Ó RíordáinAodhán Ó Ríordáin (Dublin North Central, Labour)
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Question 222: To ask the Minister for Social Protection if she will provide information on the operation of the mortgage interest relief supplement which is administered by her, in particular in the context of any engagement she may have had with the mortgage arrears group, which is currently examining the issue of mortgage arrears; and if she will make a statement on the matter. [24473/11]

Photo of Joan BurtonJoan Burton (Dublin West, Labour)
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The purpose of the mortgage interest supplement scheme is to provide short term support to eligible people who are unable to meet their mortgage interest repayments in respect of a house which is their sole place of residence. The supplement assists with the interest portion of the mortgage repayments only.

At the end of December 2010 there were 17,974 people in receipt of mortgage interest supplement, an increase of 337% over the 2007 figure. There are currently over 18,500 households benefiting from the scheme for which €77.2m has been allocated for 2011.

The Department's review of the administrative, policy and legal aspects of the mortgage interest supplement scheme was published in July 2010 in conjunction with the interim report of the Mortgage Arrears and Personal Debt Review Group. The final review of the Mortgage Arrears and Personal Debt Review Group was published in November 2010. These reports set out a number of recommendations. These recommendations are centered on the delivery of significant customer service improvement by ensuring that State support for those unable to deal with mortgage arrears is better targeted, consistent and easily understood. Allied with the focus on customer service improvement are recommendations that seek to ensure that lending institutions, borrowers and the Exchequer share responsibilities and commitments in a balanced way.

The recommendations set out in the Mortgage and Personal Debt Review Group's final report are now been considered in the context of other commitments contained in the Programme for Government in relation to mortgage holders and are now informing the wider remit of the Economic Management Council's review. Specifically, the issue of distressed mortgages is being examined by the Economic Management Council's (EMC) subgroup on Mortgage Over-Indebtedness. The subgroup is due to report to the EMC at the end of September with the final report being issued to Government by the EMC. Any proposed changes to the operation of the Mortgage Interest Supplement will form part of this report.

Photo of Catherine MurphyCatherine Murphy (Kildare North, Independent)
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Question 223: To ask the Minister for Social Protection when she expects the review into the operation of the rent supplement scheme with a view to introducing a code of conduct for rent supplement eligibility similar to that which operates for local authority tenants will be completed and published; and if she will make a statement on the matter. [24474/11]

Photo of Joan BurtonJoan Burton (Dublin West, Labour)
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Social Welfare legislation already provides the Health Service Executive with the authority to refuse payment of a rent supplement in the case of a person who has been required to deliver up possession of a dwelling provided by a housing authority or an approved body where the reasons for that requirement include anti-social behaviour or the interests of good estate management.

In the case of private rented accommodation, tenancy arrangements involve a contract between the landlord and tenant and tenant behaviour is a matter for the landlord in the first instance. There are a number of avenues open to landlords in such cases, including the mediation service for landlords and tenants operated by the Private Residential Tenancies Board and/or recourse to the Garda Siochana and/or the Courts in relation to the enforcement of the law in dealing with anti-social or criminal behaviour. If necessary, the landlord may seek termination of the tenancy which, if effected, would result in the termination of rent supplement.

There is a commitment in the Programme for Government to review the operation of the rent supplement scheme with a view to introducing a code of conduct for rent supplement eligibility similar to that which operates for local authority tenants.

This review should ensure that tenants who are receiving long term support from the State under the rent supplement scheme are subject to the same type of anti-social behaviour regime as local authority tenants. However, the most appropriate way for this to happen is for local authorities to take over full responsibility for meeting the accommodation needs of these individuals. My Department is currently working with the Department of Environment, Community and Local Government with a view to achieving this goal.

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