Rent supplement rules and housing need
Ó Caoláin questions the Government’s housing record and argues that tighter rent supplement criteria will endanger vulnerable families, while landlords benefit from high rents. The Taoiseach defends the scheme’s flexibility and social housing spending, but acknowledges that subsidies can encourage landlords to charge higher rents.
Perhaps the Deputies should allow all the Opposition Members speak. Last week in the Dáil, the Government voted down a Sinn Féin Bill that sought to enshrine the right to housing in the Constitution. During the course of that debate, the Minister of State with responsibility for housing, Deputy Noel Ahern, vigorously sought to defend the Government's record on housing and in the course of his contribution, he stated: "The general strategy for realising the overall policy aim is that those who can afford to do so should provide housing for themselves with the aid of available fiscal incentives, and that those unable to do so from their own resources would have access to social housing or [I wish to emphasise this aspect] income support to rent private housing." Two days later, the Minister for Social and Family Affairs, Deputy Coughlan, announced changes to the rent supplement scheme which have caused distress to vulnerable people throughout this State. In defending those changes on RTE radio, the Minister stated that rent supplement is "not a housing measure". Which Minister is right? Is it the Minister for housing, who claims that rent supplement is a housing measure when he needs to defend the Government's scandalous record on housing, or is it the Minister for Social and Family Affairs, who says it is not when she needs to excuse a housing cutback which clearly has affected the most vulnerable and the poorest in our society?
Comment on this
As I have already said, one of the conditions for the receipt of rent supplement is that the tenant must be in need of accommodation and unable to provide it from their own resources. For the most part, health boards decide, without reference to the local authority, whether an applicant for rent supplement is in need of accommodation. The State has set up local housing authorities to decide who should get State support in respect of housing but some people effectively bypass the system by opting to claim the rent supplement directly. That is what happened. As I said previously in reply to Deputy Rabbitte, in future rent supplement claimants will be referred to the local authority for assessment of their housing need. It is an attempt to deal with the matter in a more systematic manner.
This measure will lead to an increased role for local authorities in this area. In addition, they will consider ways of improving the service for people with long-term housing needs who are currently in discussions with the local authorities. That is the right way to do it. Rent supplements will no longer be paid to people who refuse an offer of local authority accommodation or who leave local authority accommodation without reasonable cause. We cannot have a position where the State is paying enormously high rents to private landlords in cases where local authority accommodation is available.
Comment on this
We are spending almost €1.9 billion on social and affordable housing and we cannot have a situation where we just have a benchmark of resources where private landlords can increase the rent in areas to the level of the threshold for rent supplements. That cannot continue. It is giving an incentive to landlords to increase the rent which the State will have to pay. That is what happens. I see it every day in my own constituency and in other areas of the country also.
Comment on this
I would say to Deputy Ó Caoláin that for the past 16 years we have delivered the highest level of local authority completions, with output from all social and affordable measures enabling the needs of some 12,700 households to be met. It is expected that the needs of approximately 13,000 households will be met this year and that will be maintained next year. We are also maintaining strong social housing programmes to meet the needs of those not in a position to meet their own housing need. That was stated last week by the Minister of State responsible. Also, a number of these issues will be touched on later today by the Minister for Social and Family Affairs, Deputy Coughlan.
Comment on this
The Taoiseach has not answered the question as to which of his two Ministers is correct, having given conflicting information within a three day period. However, dealing with the issue of the changes in the rent supplement criteria, is it not a reckless and callous cut that takes no account of the hardship and indeed the danger that many families, and particularly young children, will be placed in as a result? Is it not the case that the Government has failed to take into account the damaging effects on ordinary people – people trying to leave abusive homes, single parents trying to cope with the challenges of parenthood alone and those who are trying to find a way out of overcrowded accommodation where, generationally, multiples of families are living under the one roof, sometimes one, two and three distinguishable family units? That comes on top of the imposition of the ceiling of €107 per week for rent supplement. That does not take into account the real cost of private rented sector accommodation anywhere on this island.
Comment on this
It is difficult to find rented accommodation for less than €107 per week anywhere in this jurisdiction. The rent supplement scheme is not being abused by those in receipt of the payment, but by those who subsequently benefit from it, who do not face any restrictions and who, as landlords, continue to exploit the most vulnerable and the poorest in our society.
Comment on this
The Government stands indicted on this matter.
Comment on this
That is the right answer because the Taoiseach does not know what ordinary people are facing.
Comment on this
The people are entitled to honesty.
Comment on this
I will join all the others on the streets.
Comment on this
As I have already stated, approximately 60,000 additional people are claiming rent supplement. The Deputy rattled off figures, but they do not reflect reality.
Comment on this
People can claim up to €1,200 for a family in need. It is an extremely caring system. I deal with such cases every weekend, as do many other Members in the House. It is extremely flexible. The Department of Social and Family Affairs is the most caring Department in the world in terms of looking at individual cases, making assessments and showing flexibility. What the Deputy said is not true. It is not the way the system works and it is not the factual position.
Comment on this
That would not be said to other Opposition speakers if they made such an accusation.
Comment on this
My time is up, but I want to make one point. The only point the Deputy is making which is factual is that the present system gives landlords an opportunity to fix the rent at an increased rate and represents an incentive to charge high rents.
Comment on this
If there was not a rent subsidy, such high rents would not be charged by private landlords. The State keeps rents at such a level because of the subsidies.
Comment on this
We did last year. The Deputy can read the blacks.