James Browne (Wexford, Fianna Fail)
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1317. To ask the Minister for Housing, Planning, Community and Local Government his views on whether the Gorey area in County Wexford should be marked as a rent pressure zone; and if he will make a statement on the matter. [34429/17]

Eoghan Murphy (Dublin Bay South, Fine Gael)
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I propose to take Questions Nos. 45 and 1317 together.

The Planning and Development (Housing) and Residential Tenancies Act 2016 sets out the process through which Rent Pressure Zones can be designated. It provides that the Housing Agency, in consultation with housing authorities, may make a proposal to the Minister that an area should be considered as a Rent Pressure Zone. Following receipt of such a proposal, the Minister requests the Director of the Residential Tenancies Board (RTB) to conduct an assessment of the area to establish whether or not it meets the criteria for designation and to report to the Minister on whether the area should be designated as a Rent Pressure Zone.

For an area to be designated a Rent Pressure Zone, it must satisfy the following criteria set out in section 24A(4) of the Residential Tenancies Act 2004 (as amended by section 36 of the Planning and Development (Housing) and Residential Tenancies Act 2016):

(i) The annual rate of rent inflation in the area must have been 7% or more in four of the last six quarters; and

(ii) The average rent for tenancies registered in the area with the RTB in the last quarter must be above the average national rent (the National Standardised Rent in the RTB’s Rent Index Report) in the last quarter (€987 per month).

On 15 June, the RTB published the Rent Index Report in relation to Quarter 1 2017, which includes a summary of the data used as the criteria for designating Rent Pressure Zones in relation to all Local Electoral Areas in the country. This allows all interested parties to see exactly where their area stands in relation to average rent levels and increases and possible designation. The data from the Rent Index Report relating to Gorey, County Wexford are detailed in the following table:

While in 4 of the last 6 quarters rent inflation in Gorey has been 7% or greater, the average monthly rent is €748.83, which is below the average national standardised rent of €987 per month. Therefore, the Local Electoral Area of Gorey does not meet the criteria for designation at this time.

The Housing Agency will continue to monitor the rental market and may recommend further areas for designation. Where, following the procedures set out in the Act, it is found at a future date that additional areas meet the criteria, they will be designated as Rent Pressure Zones.

On 15 June 2017, my Department announced the launch of a public consultation on the review of the Rent Predictability Measure and the system of Rent Pressure Zones. The consultation has allowed members of the public and interested parties to provide their opinions and suggestions on the functioning of the measure. The 69 submissions received from the consultation process, which concluded on 30 June, will feed into the review of the measure.