Written answers

Tuesday, 22 November 2016

Department of Social Protection

Rent Supplement Scheme Administration

Photo of Ruth CoppingerRuth Coppinger (Dublin West, Anti-Austerity Alliance)
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86. To ask the Minister for Social Protection if his Department has reviewed the changes to the rent supplement limits and their impact; and if he will make a statement on the matter. [36037/16]

Photo of Paul MurphyPaul Murphy (Dublin South West, Anti-Austerity Alliance)
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87. To ask the Minister for Social Protection if his Department has reviewed the number of properties available to rent within the rent allowance limits; and if he will make a statement on the matter. [36029/16]

Photo of Mick WallaceMick Wallace (Wexford, Independent)
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99. To ask the Minister for Social Protection his plans to reform the rent supplement system in line with calls from advocacy groups (details supplied) for rent supplement levels to be assessed based on individual circumstances and which recommend a range of administrative reforms which would make rent supplement more attractive to landlords; and if he will make a statement on the matter. [36052/16]

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
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I propose to take Questions Nos. 86, 87 and 99 together.

Supports in relation to housing are a key priority for this Government, as evidenced by the early implementation, in July 2016, of its commitment to introduce increased rent limits under rent supplement, currently supporting 49,700 tenants at a total cost of €267 million this year.

The rent limit review process represented a realignment of the maximum rent limits with agreed rents, with rents generally benchmarked against the 35th percentile of those registered with the Residential Tenancies Board. The review’s methodology is evidence based and reflects the pressures on rental properties in each location. Officials in my Department continue to monitor both overall availability of rental properties, which remains at historic lows, and the on-going relevance of the new limits. Both my Department and the Department of Housing, Planning, Community and Local Government will jointly undertake a review of the effects of the increases on rental costs and homelessness after a 12 month period.

In recognition of the ongoing supply difficulties, my Department continues to implement a targeted case-by-case policy approach that allows for flexibility where landlords seek rents in excess of the limits. To date, approximately 9,300 persons at imminent risk of homelessness have been supported through increased rent supplement payments. There has been a significant reduction in these cases following the introduction of the increased rent limits.

The Housing Assistance Payment (HAP), which is a key pillar of the Social Housing Strategy 2020, will transfer responsibility for all those on rent supplement with long term housing needs to the local authorities. It is expected that HAP will be available in all local authorities in early 2017. HAP represents a significant reform of the system and rent supplement will continue to be paid to households who are already in the private rented sector but who, generally because of a loss of income through unemployment, require short term income support. Any recommendations to reform the administration of the rent supplement scheme have to be carefully considered in the context of this significant change in policy direction.

I can assure the Deputies that I am continuing to keep the matter of rent limits and the administration of the rent supplement scheme under close review.

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