Written answers

Tuesday, 24 January 2012

Department of Social Protection

Social Welfare Benefits

9:00 pm

Photo of Billy TimminsBilly Timmins (Wicklow, Fine Gael)
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Question 390: To ask the Minister for Social Protection the position regarding the reduction in rent allowance in respect of a person (details supplied) in County Wicklow which results in hardship; and if she will make a statement on the matter. [3993/12]

Photo of Joan BurtonJoan Burton (Dublin West, Labour)
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Since 2005 rent supplement expenditure has increased from €369 million to a provisional outturn of €503 million in 2011. The number of persons claiming the allowance increased from almost 60,200 persons in 2005 to over 96,800 as at end 2011, a 61% increase. New maximum rent limits came into force on 1 January 2012. These new limits are in line with the most up to date market data available. The emphasis of the rent limit review was to ensure that value for money is achieved whilst at the same time ensuring that people on rent supplement are not priced out of the market for private rented accommodation.

All new rent supplement applications are subject to these limits. As existing claims come up for review or when an existing lease expires, they will be reassessed using the new limits. Where a claim is under review and the rent is above the new maximum limit the customer is being asked to contact the landlord to renegotiate the rent. Where a landlord does not agree to reduce the rent to the new rates departmental officials will discuss the options open to the tenant up to and including seeking alternative accommodation. Departmental guidance to the officers administering rent supplement states that where negotiation with the landlord fails then rent supplement may continue to be paid for a period of up to thirteen weeks at the higher rate. However, once the lease has expired the tenant will be expected to find suitable accommodation at below the new limits in force.

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