Rent-a-room pay up to €14k will not affect medical card
PLANS have been approved to allow people who earn up to €14,000 a year under the rent-a-room scheme to have this additional income disregarded when being assessed for a medical card.
Under current legislation and guidance, Rent-a-Room Relief – which is open to both private homeowners and social housing tenants – would be counted during the assessment of a medical card application, making some ineligible for the card.
But Health Minister Stephen Donnelly said yesterday: ‘I am pleased to receive Government approval to publish this crucial Bill [which], when enacted, will mean that renta-room income will no longer be considered during applications for medical cards and GP visit cards.
‘The Bill will progress commitments under Housing for All, to remove potential barriers to participation in the rent-a-room scheme.’
Rent-a-Room Relief allows participants on the scheme to earn up to €14,000 per year, tax-free, if they rent out a room, or rooms, in their home for use as accommodation by others.
Higher Education Minister Simon Harris said the income disregard was an ‘important addition’ to the suite of measures the Government has introduced for homeowners seeking to rent out a room.
He said: ‘This is a really important intervention to ensure there is no impact on the assessment for medical cards and GP cards.
‘Rent-a-room or digs accommodation supply is a key part of our long-term term approach to student accommodation and is a key part of the long-term policy announced last week.’
Mr Harris has also indicated that the Government is looking at further extending the rent-a-room scheme.
Last week, the minister told Social Democrats TD Gary Gannon: ‘My department is actively engaged with [the Department of Housing] regarding the rent-a-room scheme income disregards for social housing tenants to enable them to participate in the scheme.’
Housing Minister Darragh O’Brien said: ‘We know that there are homes which are well located close to public transport, third-level institutes and urban centres but which are currently underoccupied. This extension of the income disregard will mean there are greater options for people, both those seeking to rent and those who wish to rent out a room, but heretofore were disincentivised from doing so. This Government is using every tool in our armoury to tackle the challenges in housing head-on.’
Fine Gael senator Maria Byrne added: ‘This was a particular concern to pensioners who would benefit in many ways from the scheme. Now they and others can be assured that the rent-a-room scheme is a viable option.’
The legislation will also lay the ground for an enhanced role for pharmacists in Ireland. The Bill will amend the 1995 Irish Medicines Board Act to enable pharmacists to sell and supply certain approved medicines without the need for a prescription.
This amendment may also enable regulations to allow pharmacists across the country to supply oral contraceptive pills without prescription and to support the free contraception scheme.
Minister Donnelly said: ‘We know that pharmacists can do more for patients and I have been clear that I want to further enhance the contribution that pharmacists make to our health services, and this will be an important step forward. The Bill will also prepare the way for some much-needed changes around the oversight of medicines supplies and access to medicines.’
He said shortages of medicinal products have ‘unfortunately become a reality across many countries in recent years’, and added: ‘This Bill will allow us to be more agile in our response to these occurrences.’
He said secondary legislation ‘will be needed for these changes to take effect, and this is currently being developed in my department’.
‘Important addition’
‘A concern to pensioners’