Joe Higgins (Dublin West, Socialist Party)
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To ask the Minister for Social Protection if she will review the rent supplement scheme caps in view of an increasing number of tenants being forced out of their homes and localities due to the lower limits imposed since the beginning of the year. [44500/12]

Bernard Durkan (Kildare North, Fine Gael)
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To ask the Minister for Social Protection if her attention has been drawn to the hardship caused by the system currently in use by her Department whereby particular administrative areas such as counties or boroughs are used to determine the maximum rent payable to those on council housing lists and in need of rehousing due to the very serious variations caused by local factors which has raised the rents in the market place to the extent that local authority housing applicants living in such areas cannot avail of rent support other than by relocating to an area distant from them and beyond the reach of their families; if she will therefore carry out an examination based on the number of queries and or complaints received arising from such issues with a view to ensuring that rent support is made available to those who are currently being deprived and suffering severe hardship; and if she will make a statement on the matter. [44547/12]

Joan Burton (Dublin West, Labour)
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I propose to take Questions Nos. 61 and 65 together.

The Government has provided €436 million for rent supplement in 2012. There are currently approximately 90,000 customers in receipt of this payment.

As the Department currently funds approximately 30% of the private rented sector it is essential that State support for rents are kept under review and reflect current market conditions. New maximum rent limits came into force on 1 January 2012 and are in place until June 2013. These new limits were set after an analysis of the most up to date market data available. For all counties, major urban population centres were tested as part of the rents review to ensure that rent supplement applicants can access temporary housing arrangements whilst seeking employment opportunities. The emphasis of the rent limit review was to ensure that maximum value for money for tenants and the taxpayer was achieved whilst at the same time ensuring that people on rent supplement are not priced out of the market for private rented accommodation.

The revised limits are applicable to new rent supplement tenancies from January 2012 and existing tenancies on review. Approximately 40,000 rent supplement claims have been awarded in 2012 indicating that accommodation can be secured within the new limits. Where rents are in excess of the limit, customers are being asked to contact their landlord and renegotiate the rent. Where landlords do not agree to reduce the rent within the limits, staff will discuss the options open to the tenant, including seeking alternative accommodation.

Officials administering the scheme advise that customers are securing alternative accommodation within their locality. Any customers who have specific issues in relation to relocating should discuss these issues with Department officials who are continuing to provide support and advice to customers in addressing their accommodation and other needs. There will be no incidence of homelessness due to these changes.

Officials in my Department continue to examine the impact of the rent limits on those who claim rent supplement but at this stage I have no plans to revise the existing rent limits.