‘Flagrant breaches’ of rent cap rules..
Public being fleeced, claims Sinn Fein’s Doherty
A REPORT showing rents in tenancies grew by 5.2% is evidence of “flagrant breaches” of rules designed to cap rates in certain areas, the government has been told.
The Q3 2023 rent index report from the Residential Tenancies Board showed the average rent for new tenancies was €1,598, 17.7% higher than the 1,357 average rent for existing tenancies.
It also found there was an 11% year-on-year increase on rates for new tenancies and a 5.2% rise for rents in existing tenancies.
In certain designated areas, rents cannot be increased by more than 2% per year, or by the rate of inflation, whichever is lower. These rent pressure zones are enforced where rents are highest and where households have the greatest difficulty finding affordable accommodation.
During Leaders’ Questions, Sinn Fein’s Pearse Doherty said the RTB report showed renters are being “fleeced” in every county across Ireland. Mr Doherty said Sinn Fein wants to “protect renters” by banning increases for three years and returning a month’s rent back to their pockets.
He added that the party would also implement policies to dramatically increase the supply of affordable and cost-rental homes. He said average rents had increased by more than double the RPZ cap in many counties where the limit exists.
Labour leader Ivana Bacik also said there was clearly an issue with “flagrant breaches” of RPZS.
Representing the Government, finance minister Michael Mcgrath said the RTB report is not a measure of RPZ compliance.
The RTB said the report cannot be used in that manner, he added, as it is based on a standardised average in each region and that RPZ limits do not apply to whole counties.
He told the Dail: “Fundamentally, the reason why rents are continuing to rise is because there is a mismatch between supply and demand. That
is the reality.”