Written answer
Housing Schemes
Minister said the cost of raising HAP limits to average rents was unavailable; a review concluded, with next steps pending and €470 million allocated for 2026.
373. Deputy Richard Boyd Barrett asked the Minister for Housing, Local Government and Heritage the full-year cost of increasing HAP limits to the average cost of rents in each area; and if he will make a statement on the matter. [67165/26]
Comment on this
Under the HAP scheme, a tenant sources their own accommodation in the private rented market. This accommodation should be within the prescribed maximum HAP rent limits, which are based on household size and the rental market within the area concerned.
Since 11 July 2022, each local authority has statutory discretion to agree to a HAP payment up to 35% above the prescribed maximum rent limit, or up to 50% in the case of homeless households in the Dublin region. Local authorities also have additional flexibility to apply a couple HAP rate to single-person households.
My Department reviewed the use of these measures and their impact on the overall affordability of the HAP scheme for tenants. This exercise highlighted that the affordability and sustainability of HAP tenancies continue to be impacted by pressures in the private rental market. Therefore, I gave approval for a review of the HAP rent limits to be undertaken to ensure there is sufficient support under the HAP scheme to assist eligible households in accessing accommodation in the private rental sector.
The HAP rent limits review has now concluded, and I am considering its findings before setting out the next steps. My Department does not hold the specific details you have requested.
The 2026 budget allocation of €470 million is enabling continued support for existing HAP tenancies, along with funding for 7,000 new households to be accommodated in HAP-supported tenancies. Funding for future years will be agreed on an annual basis as part of the annual Estimates process.