HOUSING MINISTER DARRAGH O’Brien has ruled out introducing regulations on homeowners who rent a spare room to students, saying that implementing rules would reduce supply.
In response to a Parliamentary Question by Fine Gael’s Neale Richmond, who asked if rights available to typical renters would be extended to people living in rented rooms, O’Brien said that the Government had no plans to introduce new regulations.
Under current legislation, the Residential Tenancies Board does not have authority over licence agreements for people who are renting a room in a house where the landlord also lives.
Rented rooms, or “digs”, are typically used by students while attending college and have been in short supply in recent years, with campaigns by students’ unions being run to boost the number of people offering rooms.
Currently, people can rent out a room in their home and make up to €14,000 in rent tax free through the Rent a Room Relief tax credit.
There has also been a lack of availability in overall student accommodation in recent years, with the Government now set to part-fund the construction of an additional 667 student beds across an initial three colleges.
Despite challenges within the sector, O’Brien says that he does not believe adding regulations to the sector will improve the availability of digs.
“I do not consider that there is a need for a legal regulatory framework in this area. Digs accommodation is an integral housing solution that suits both lodgers and home owners, providing an important source of revenue and, in some circumstances, social interaction,” O’Brien said.
“Any attempt at regulating ‘digs’ is highly likely to impact negatively on the supply of this traditional and important source of accommodation.”
He said that people who live in digs “benefit from the goodwill that exists to ensure that both lodgers and home owners are happy with the arrangement”.
“It is possible for the arrangements to be formalised by way of a licence between the parties, but this is a matter of choice for the parties themselves to agree on,” he added.
Despite not having plans to introduce regulations, O’Brien added that it would be kept under review.
To embed this post, copy the code below on your site
have your say