Written answers

Tuesday, 2 April 2019

Department of Employment Affairs and Social Protection

Rent Supplement Scheme Data

Photo of Willie O'DeaWillie O'Dea (Limerick City, Fianna Fail)
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510. To ask the Minister for Employment Affairs and Social Protection the estimated full-year cost of increasing rent supplement limits by on average of 10%; and if she will make a statement on the matter. [14730/19]

Photo of Fiona O'LoughlinFiona O'Loughlin (Kildare South, Fianna Fail)
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550. To ask the Minister for Employment Affairs and Social Protection the number of persons in receipt of rent supplement by county; the number who have had their payment increased over the prescribed limits in tabular form; and if she will make a statement on the matter. [14994/19]

Photo of Regina DohertyRegina Doherty (Meath East, Fine Gael)
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I propose to take Questions Nos. 510 and 550 together.

Rent supplement continues its important role in housing families and individuals, with the scheme supporting approximately 22,600 recipients for which the Government has provided €132.4 million for 2019. Based on the current customer volumes and the intercounty mix of recipients, the forecast full-year cost of increasing rent limits by 10% would be in the region of €17.4 million.

However, it must be emphasised that rent supplement is only one part of the Government’s intervention within the private rental sector. The other two main schemes - rental accommodation scheme (approx. 18,900 claimants) and the housing assistance payment scheme (approx. 45,000 claimants) - also use rent supplement’s rent limits. Any costing exercise for rent limits needs to consider the cost impact for both of these two schemes, along with other ancillary schemes using rent limits as part of their pricing strategies operated by local authorities.

Any increases made to rent limits may add further inflationary pressure on pricing expectations of landlords; this will be of most concern to lower-percentile property values within the rental market, i.e., low-income working families renting in urban areas would be the group most likely affected.

In recognition of the ongoing rental market difficulties, the Department continues to implement a targeted case-by-case flexible payment policy approach that allows for flexibility where landlords seek rents in excess of the rent limits.  To date, approximately 13,500 cases have been provided additional flexible payment arrangements, i.e. have received support in excess of the prevailing rent limits. Rent supplement recipients by county along with the payments made under the case-by-case flexible payment National Framework since its inception in 2015 are provided in the below tabular statement.

I trust this clarifies the matter for the Deputy.

Tabular Statement: Total Increased Rental Payments by County and Rent Supplement Recipients.

CountyRecipients End of February 2019Cumulative Cases 2015 - 19 March 2019
CARLOW20991
CAVAN18783
CLARE10864
CORK2,630766
DONEGAL870
DUBLIN11,6597,922
GALWAY1,050228
KERRY742364
KILDARE992712
KILKENNY116140
LAOIS213187
LEITRIM83108
LIMERICK46519
LONGFORD120368
LOUTH185208
MAYO33442
MEATH271510
MONAGHAN1061
OFFALY8074
ROSCOMMON209111
SLIGO731
TIPPERARY235375
WATERFORD11874
WESTMEATH594487
WEXFORD71226
WICKLOW1,012541
TOTAL22,59013,502

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