Written answers

Wednesday, 17 September 2014

Department of Social Protection

Rent Supplement Scheme Administration

Photo of Peter MathewsPeter Mathews (Dublin South, Independent)
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74. To ask the Minister for Social Protection her plans to increase the rent supplement levels for families to reflect the real cost of rent; and if she will make a statement on the matter. [33327/14]

Photo of Éamon Ó CuívÉamon Ó Cuív (Galway West, Fianna Fail)
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149. To ask the Minister for Social Protection if it is intended to revise the rent caps for the receipt of rent supplement in view of the increase in rents, particularly in urban areas, since the last review and the difficulty that many persons, in need of accommodation, are having renting properties below the current thresholds; and if she will make a statement on the matter. [34506/14]

Photo of Seán KyneSeán Kyne (Galway West, Fine Gael)
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158. To ask the Minister for Social Protection if, in view of the substantial increase in rental rates particularly in urban areas, and considering that the housing assistance payment has not been implemented nationwide, her Department will review the limits pertaining to the rent supplement scheme; and if she will make a statement on the matter. [34703/14]

Photo of Terence FlanaganTerence Flanagan (Dublin North East, Independent)
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166. To ask the Minister for Social Protection her views on correspondence (details supplied) regarding rent supplement; and if she will make a statement on the matter. [34862/14]

Photo of Joan BurtonJoan Burton (Dublin West, Labour)
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I propose to take Questions Nos. 74, 149, 158 and 166 together.

The purpose of the rent supplement scheme is to provide short-term income support to assist with reasonable accommodation costs of eligible people living in private rented accommodation who are unable to provide for their accommodation costs from their own resources. The overall aim is to provide short term assistance, and not to act as an alternative to the other social housing schemes operated by the Exchequer. There are currently approximately 73,800 rent supplement recipients for which the Government has provided over €344 million for 2014.

Maximum rent limits are generally reviewed every 18 months. The most recent review was completed in June 2013 with revised rent limits introduced on 17 June 2013. Despite pressures on the social protection budget, the last review saw rent limits increase in line with market rents in some areas, including Dublin and Galway, with Dublin limits increasing by a weighted average of 9%.

A new rent limit review has commenced within the Department and will feed into the budgetary process. This review involves a comprehensive analysis of information from a range of sources including rental tenancies registered with the Private Residential Tenancies Board (PRTB), the Central Statistics Office rental indices, websites advertising rental properties, relevant Departments and Agencies and non-Government organisations such as Threshold, Focus Ireland and the Society of St Vincent de Paul.

The current difficulties in the rental market and the difficulties faced by prospective tenants, including those seeking access to rent supplement, is a shortage of supply of suitable properties in areas of high demand. I would be concerned that raising rent limits is not the solution to the problem as it is likely to add to further rental inflation and impact, not alone on rent supplement recipients, but also on many lower income workers and students. The Government has recently launched its Construction Strategy with the aim of increasing housing supply generally.

I can assure the Deputies that officers administering rent supplement throughout the country have considerable experience in dealing with customers and make every effort to ensure that their accommodation needs are met. Discretionary powers are available to staff to award a supplement for rental purposes in exceptional cases where it appears that the circumstances of the case so warrant. A notice reminding staff of their statutory discretionary power to award a supplement for rental purposes in exceptional cases, for example, when dealing with applicants who are at risk of losing their tenancy, has recently been circulated.

In view of the current supply difficulties, the Department has agreed a protocol with the Dublin local authorities and voluntary organisations so that families on rent supplement who are at risk of losing their accommodation can have more timely and appropriate interventions made on their behalf. Since the launch of this initiative in mid-June 2014, approximately 115 families have had their rent supplement claims revised by the Department.

The Department’s strategic policy direction is to transfer responsibility for recipients of rent supplement with a long-term housing need to local authorities under the Housing Assistance Payment (HAP). Officials are working closely with those in the lead Department of Environment, Community and Local Government, in introducing HAP on a phased basis, initially in Cork County, Limerick City and County and Waterford City and County from 15th September 2014.

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