Seán Sherlock (Cork East, Labour)
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303. To ask the Minister for Housing, Planning, and Local Government if he will report on the Housing for All extended rent pressure zones to 2024 and rents linked to the harmonised index of consumer prices. [17531/22]

Darragh O'Brien (Dublin Fingal, Fianna Fail)
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The Residential Tenancies (No. 2) Act 2021 introduced measures in July 2021 to extend the operation of Rent Pressure Zones (RPZs) until the end of 2024. The designation of all existing RPZs has also been extended until 31 December 2024. The Act provides that rent reviews outside of RPZs can, until 2025, occur no more frequently than bi-annually. This provides rent certainty for tenants outside of RPZs for a minimum 2 year period at a time.

The Act also introduced measures to better protect tenants with affordability by prohibiting any necessary rent increase in a RPZ from exceeding general inflation, as recorded by the Harmonised Index of Consumer Prices (HICP).

To address the rent affordability challenges building on foot of the unexpectedly fast rising inflation rate, as recorded by HICP (CSO data for February 2022 shows HICP inflation of 5.7% p.a.), the Residential Tenancies (Amendment) Act 2021 provides, from 11 December 2021, a cap of 2% per annum pro rata on rent increases in RPZs, where the inflation rate is higher. In effect, this will mean that rents in RPZs may only increase by a maximum of 2% per annum pro rata during times of higher inflation.

In all cases, section 19(1) of the Residential Tenancies Acts 2004-2021 prohibits the setting of a rent that exceeds market rent.

Seán Sherlock (Cork East, Labour)
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304. To ask the Minister for Housing, Planning, and Local Government if he will report on the Housing for All objective for indefinite tenancies to strengthen security for renters. [17533/22]

Darragh O'Brien (Dublin Fingal, Fianna Fail)
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In accordance with both the Programme for Government and Housing for All commitments, the Government has provided for Tenancies of Unlimited Duration through the Residential Tenancies (Amendment) Act 2021.

The Residential Tenancies (Amendment) Act 2021 was signed into law on 11 December 2021.

All new tenancies created on or after 11 June 2022 will become tenancies of unlimited duration once the tenancy has lasted more than 6 months and no notice of termination has been validly served on the tenant.

The Act amends Part 4 of the Residential Tenancies Act 2004 (Security of Tenure), to provide for enhanced tenancy protections on the basis that after 6 months’ duration, a 'Part 4 tenancy' is established for an unlimited duration and not subject to expiry at the end of a 6 year term, should the landlord exercise his or her right to terminate the tenancy as currently provided under section 34(b) of the Residential Tenancies Act 2004.

The aim is to enhance security of tenure for tenants and to simplify the operation of the Residential Tenancies Acts 2004 - 2021 through a transition to tenancies of unlimited duration. This provision respects the landlord’s constitutionally protected rights to terminate a tenancy in accordance with section 34 of the Acts.

Only new tenancies commencing on or after 11 June 2022 must be on the basis of an unlimited duration, but naturally over time, all ‘Part 4 tenancies’ will be of unlimited duration.

As existing Part 4/further Part 4 tenancies terminate/expire over time or are renewed, it will involve the creation of a new tenancy of unlimited duration in respect of any such dwelling, should it remain in the rental sector. By 11 June 2028, (i.e. within 6 years of the coming into operation of sections 5 and 6 of the Residential Tenancies (Amendment) Act 2021), all residential tenancies will have commenced on the basis of becoming a Part 4 tenancy of unlimited duration (following the initial 6 month period).

In the interim, the Residential Tenancies (Amendment) Act 2021 provides that a landlord may grant his or her consent to any existing tenancy being treated as a tenancy of unlimited duration. However, the landlord is not be compelled to grant his or her consent and where consent is not granted, the existing protections of the Residential Tenancies Act 2004 apply.