Written answers

Tuesday, 24 November 2015

Department of Social Protection

Rent Supplement Scheme Administration

Photo of John HalliganJohn Halligan (Waterford, Independent)
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146. To ask the Tánaiste and Minister for Social Protection if she will review the monthly rent limits in line with the actual cost of renting (details supplied) given the latest reports that property rental prices in the south east region have risen by 5.5% on average in the past year. [41791/15]

Photo of Kevin HumphreysKevin Humphreys (Dublin South East, Labour)
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Rent supplement plays a vital role in housing families and individuals, with the scheme supporting approximately 63,000 people at a cost of over €298 million in 2015. Over 17,200 rent supplement tenancies have been awarded this year showing that landlords are accommodating significant numbers under the scheme.

I am fully aware of the findings of the recent Daft.ie rental report and the difficulties that people are experiencing in maintaining affordable rented accommodation in areas of high demand in the current market, including in the South East region.

A review of the rent limits undertaken earlier this year found that the impact of increasing limits at a time of constrained supply will increase costs disproportionately for the Exchequer with little or no new housing available to recipients.

Rather than increasing limits at this time, rent supplement policy will continue to allow for flexibility where landlords seek rents in excess of current limits. Flexibility is provided under the National Framework for Tenancy Sustainment for both existing customers of the scheme and new applicants. Under this measure, the circumstances of tenants are considered on a case-by-case basis and rents are being increased above prescribed limits as appropriate. This flexible approach has already assisted over 5,000 households throughout the country to retain their rented accommodation, including over 20 households in receipt of rent supplement in Waterford. The Housing Assistance Payment (HAP), administered by the local authorities, has been rolled out in Waterford city and county since September 2014 and there are currently over 610 HAP tenancies in place. Of the 610 cases, approximately 390 are new customers and the remaining 220 represent households with long term housing needs that have transferred from rent supplement.

I believe that these measures and the recently announced reforms to the private rental sector, will provide increased certainty for both tenants and landlords in the current market. I am continuing to keep this matter under close review.

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