Written answers

Tuesday, 6 December 2011

Department of Social Protection

Social Welfare Code

7:00 pm

Photo of Noel GrealishNoel Grealish (Galway West, Independent)
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Question 159: To ask the Minister for Social Protection her views on community welfare officers not paying rent supplement direct to compliant landlords in situations where tenants have lost cases of rent arrears by determination orders from the Private Residential Tenancies Board; her views that continued payment to claimants in such cases can contribute to fraud, notwithstanding that the legislative provisions provide that the tenant's relationship is with the Department and previously the Health Service Executive; and if she will make a statement on the matter. [38415/11]

Photo of Noel GrealishNoel Grealish (Galway West, Independent)
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Question 160: To ask the Minister for Social Protection if she will undertake a review of the legislation regarding the payment of rent supplement to tenants; if she will acknowledge that there are three parties involved, tenant, social services and landlord, and that evidence of non-payment by the tenant to a compliant landlord should be considered as fraud; if she will acknowledge the role of compliant landlords in eliminating fraud against her Department; and if she will make a statement on the matter. [38416/11]

Photo of Noel GrealishNoel Grealish (Galway West, Independent)
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Question 161: To ask the Minister for Social Protection if there is a specific form to be completed by a tenant requesting that rent supplement be paid direct to a compliant landlord, or another third party; if the request has to be made and signed in the presence of the community welfare officer; if a signed letter from a tenant, given to a landlord, is acceptable; and if she will make a statement on the matter. [38417/11]

Photo of Noel GrealishNoel Grealish (Galway West, Independent)
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Question 162: To ask the Minister for Social Protection the circumstances in which a tenant can request payment of rent supplement to a compliant landlord; her views that it is best practise for tenants to agree to this in their own interests and to help combat fraud; her views that the provision for direct payment to landlords and others, repeated in many circulars to community welfare officers, should be the norm, or only in exceptional cases; and if she will make a statement on the matter. [38418/11]

Photo of Joan BurtonJoan Burton (Dublin West, Labour)
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I propose to take Questions Nos. 159 to 162, inclusive, together.

The purpose of rent supplement is to provide short-term support to eligible people living in private rented accommodation, whose means are insufficient to meet their accommodation costs and who do not have accommodation available to them from any other source. Under the legislative provisions governing rent supplement, the Department's relationship is with the tenant; the tenant makes the application for rent supplement and payment is made to the tenant. Rent supplement is specifically for the benefit of tenants to assist them with their accommodation needs. There is no direct relationship between the landlord and the Department in the administration of the scheme.

Current legislation provides for the making of a rent supplement payment to another person (e.g. a relative, a landlord or landlord's agent) on behalf of the recipient, at the tenant's written request and subject to the consent of the Department. Where a tenant wishes to have the rent supplement paid directly to the landlord, the tenant is requested to sign an indemnity form authorising payment of the supplement directly to the landlord. The form does not have to be signed in the presence of the Department's representative. Approximately 20% of rent supplement payments are currently paid to a person other than the tenant.

Under the current arrangements, even with direct payment, landlords still have to collect the tenant contribution towards their rent (a minimum of €104 per month). The amount of rent supplement payable depends on the tenant's income; in some cases tenants pay only the minimum contribution while for others the tenant makes an additional contribution to their rent based on their financial circumstances. For example, where a person is in part-time income and receives just 10% of his or her rent directly from the State, the landlord would receive the 10% directly whilst still having to collect the 90% from the tenant.

It is open to the landlord to bring to the attention of the Department any instance where a tenant is receiving rent supplement but is not paying their rent. Where the Department becomes aware that a person receiving rent supplement is not using that supplement to meet housing costs, payment of the supplement is suspended and the matter investigated. Any overpayment of rent supplement incurred in circumstances of this kind may be recoverable from the tenant. Where a landlord has a grievance in relation to the non-payment of rent by a tenant, s/he may apply to the Private Residential Tenancies Board (PRTB) to have the dispute resolved through the Board's dispute resolution process.

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