Ruth Coppinger (Dublin West, Anti-Austerity Alliance)
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272. To ask the Minister for Housing, Planning, Community and Local Government the amount of former local authority housing that is now in the private rented sector; and if he will make a statement on the matter. [3179/17]

Ruth Coppinger (Dublin West, Anti-Austerity Alliance)
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273. To ask the Minister for Housing, Planning, Community and Local Government the amount of former local authority housing now in the private rented sector that is being subsidised through the payment of rent subsidies through RAS, HAP, RS and so on, ultimately paid to private landlords; his views on the rationality from the State's perspective of this practice; and if he will make a statement on the matter. [3180/17]

Simon Coveney (Cork South Central, Fine Gael)
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I propose to take Questions Nos. 272 and 273 together.

The 2015 Annual Report of the Residential Tenancies Board (RTB) reported 319,609 registered tenancies with 170,282 landlords and 693,314 occupants in the private rental sector. The NESC Report, Ireland's Rental Sector: Pathways to Secure Occupancy and Affordable Supply, published in May 2015, estimates that over one-third of all households in the private rented sector are in receipt of social housing support.

In relation to the amount of former local authority housing that is now in the private rented sector, and the amount of former local authority housing now in the private rented sector that is occupied by tenants under the Rental Accommodation Scheme, the Housing Assistance Payment and Rent Supplement, my Department does not hold or collate this information.

The Tenant (Incremental) Purchase Scheme 2016 came into operation on 1 January 2016, replacing the 1995 Tenant Purchase Scheme. Tenant purchase schemes are an important way to help people who would otherwise struggle to buy a home, to realise their home ownership ambitions, while at the same time supporting long-term commitment to a location by residents. The current scheme, through a claw-back mechanism, discourages the early re-sale of properties at a profit, thereby encouraging people to only buy houses they intend to live in. The new scheme is open to eligible tenants, including joint tenants, of local authority houses that are available for sale under the scheme.

Incremental purchase protects the State's investment in the sale of the house to the tenant by giving the housing authority a share of any profits made on the resale of the house within a reasonable period after purchase. This was not the case under the 1995 scheme. The local authority will use these funds to provide new housing or refurbish existing stock. Incremental purchase promotes sustainable communities as it encourages purchasers to stay in their homes for a reasonable period after the purchase. As part of the terms of the scheme purchasers must live in the house as their normal place of residence and get agreement from their local authority if they want to sell, let or sub-let the house. Purchasers are able to sell their house; however, within the incremental charge period they will have to pay back the value of the outstanding charge on the house to the local authority.