Written answers

Tuesday, 5 July 2016

Department of Social Protection

Rent Supplement Scheme

Photo of Ruth CoppingerRuth Coppinger (Dublin West, Anti-Austerity Alliance)
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308. To ask the Minister for Social Protection why he has increased the maximum rent limits at a lower rate in Fingal than in other areas in County Dublin under the rent supplement scheme, given the acute housing crisis in the Fingal area; and if he will make a statement on the matter. [19594/16]

Photo of Eoin Ó BroinEoin Ó Broin (Dublin Mid West, Sinn Fein)
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320. To ask the Minister for Social Protection to provide the figures on increases under the housing assistance programme taking effect from 1 July 2016 by county, in tabular form; the guidance he will issue to community welfare officers; and the criteria that will need to be satisfied, in view of his plans to regularise informal top-up payments to landlords. [19790/16]

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
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I propose to take Questions Nos. 308 and 320 together.

These new rent limits reflect the fact that rents are rising and are back to their peak levels in some cases. Through a combination of increased rent limits, and the ongoing flexibility and discretionary increases provided by my Department’s Community Welfare Service staff, we will provide more stability for tenants and reduce the danger of families becoming homeless when their rent is increased.

This Government wants to ensure that our recovering economy works for everyone. We aim to achieve that by promoting an enterprise economy, making work pay, investing in public services, ensuring opportunity and a fair go for everyone. We must ensure that we have a strong safety net so that everyone has a roof over their head. In many cases, Rent Supplement or Housing Assistance Payment is that safety net.

The revised increased rent limits under the rent supplement scheme, as announced last week, were introduced with effect from Friday, 1 July 2016. Supports in relation to housing and the provision of financial supports, including the rent supplement scheme currently supporting some 54,000 recipients at a cost of €267 million in 2016, are a key priority as evidenced by the early implementation of this Government commitment.

The review sets the rent limits in line with market rents which have generally been benchmarked at the 35th percentile of agreed rents as registered with the Residential Tenancies Board. A weighted average increase of some 30% has been applied across both the rent limits previously in place in the Fingal and Non-Fingal areas of Dublin.

The most recent rent supplement review showed that there remained a price differential between Fingal and Non-Fingal Dublin areas though both experienced a uniform increase in their overall rental pricing.

I have also advised that people who have entered an informal top-up arrangement with their landlord to contact their Community Welfare Service for assistance, as the Department will regularise these top-ups in most cases. The primary concern will be to ensure the tenant’s accommodation needs are met and that they have sufficient social welfare income after their accommodation needs have been paid. Guidance has issued to officers regarding the implementation of the increased rent limits including top up arrangements. The new limits, combined with the continued flexible approach provided by the Community Welfare Service and the Tenancy Protection Service, operated by Threshold, will provide for increased security for persons seeking support under this scheme.

Policy responsibility for the Housing Assistance Payment (HAP) scheme is a matter for my colleague, the Minister for the Environment, Community and Local Government.

I hope this clarifies the matter.

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