Darragh O'Brien (Dublin Fingal, Fianna Fail)
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All households in receipt of the Housing Assistance Payment (HAP) pay a differential rent based on the rent scheme set by the relevant local authority. The right of local authorities to set and collect rents on their dwellings is set out in section 58 of the Housing Act 1966. The making or amending of such schemes is an executive function and is subject to broad principles laid down by my Department including that; the rent payable should be related to income and a smaller proportion of income should be required from low income households; and that provision should be included for the acceptance of a lower rent than that required under the terms of the scheme in exceptional cases where payment of the normal rent would give rise to hardship.

Local discretion and flexibility are inherent in the devolved function of administering rent schemes. Decisions regarding the increase or decrease in the rent charged to tenants of local authorities are matters for individual local authorities in accordance with its differential rent scheme.

On the broader issue of the standardisation or potential reform of the differential rents model at a national level, Government have committed to developing proposals for a standardised national differential rent scheme. Given the cost of living challenges currently being experienced by households, it has been determined that this is not the appropriate time to introduce changes in the this area. I will continue to keep the benefits of reform in this area under review.