Written answers

Tuesday, 2 October 2018

Department of Housing, Planning, and Local Government

Housing Assistance Payment

Photo of Éamon Ó CuívÉamon Ó Cuív (Galway West, Fianna Fail)
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635. To ask the Minister for Housing, Planning, and Local Government his plans to amend legislation to ensure that payments issued to landlords under the housing assistance payment, HAP, scheme issue as soon as an applicant signs up to HAP in view of the fact that landlords require rent in advance; and if he will make a statement on the matter. [39886/18]

Photo of Eoghan MurphyEoghan Murphy (Dublin Bay South, Fine Gael)
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The Housing Assistance Payments (HAP) is deemed to be a social housing support under the Housing (Miscellaneous Provisions) Act 2014. As a long term housing support, an assessment of housing need must be completed in order for a household to qualify for HAP. Any household with an identified housing need is eligible for HAP. The Social Housing Assessment Regulations 2011 provide that subject to conditions, a housing authority shall deal with such an application within a period of 12 weeks. Local authorities will prioritise housing needs assessments for those in greatest need and average waiting times are significantly shorter that the statutory maximum in many areas.

Under the HAP scheme, eligible households source their own accommodation in the private rented sector. The earliest date a HAP payment will be payable to a landlord is the date a complete and valid HAP application has been received by the local authority. Limerick City and County Council provide a highly effective transactional shared service on behalf of all HAP local authorities. This HAP Shared Service Centre (SSC) manage all HAP related rental transactions for the tenant, local authority and landlord. Once a HAP application has been received and confirmed as valid by the relevant local authority, it is then processed by the HAP SSC. On average, HAP applications are processed by the HAP Shared Service Centre within 1 working day of receipt. Any rental payment arising for a given month will then be made to a landlord on the last Wednesday of that month.

The HAP scheme has been structured in a way that most protects the Exchequer funding by ensuring that payment issues only on valid and complete applications. For this reason rent is paid in arrears and ensures that money is only paid in respect of time that the property has actually been occupied by the tenant. This practice also avoids a situation where the local authority has to attempt to recover money from the landlord and simplifies the administration of the scheme. It is recognised that certain landlords seek rent in advance; however, the benefit of the HAP scheme is that it offers a security of regular monthly payment for the landlord from the SSC.

At the end of Quarter 2 2018, there were more than 37,700 active tenancies in receipt of HAP support and over 21,000 separate landlords and agents involved in providing accommodation to those households. My Department continues to keep the operation of the HAP scheme under review.

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