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Renters 'bracing themselves' for increases as Taoiseach slammed over rent pressure zone comments

Dáil told that renters are now “bracing themselves” for a rise in rent.

OPPOSITION PARTIES ROUNDED on the Taoiseach today over his comments at the weekend about reforming the rent pressure zones (RPZs) and giving tax incentives to property developers. 

Speaking during Leaders’ Questions, Sinn Féin’s housing spokesperson Eoin Ó Broin said he had been inundated with concerns from renters who were alarmed when they heard the Taoiseach signal possible changes to rent caps. 

Public Expenditure Minister Jack Chambers, who was taking Leaders Questions today as the Taoiseach is in Paris at an AI Summit, was told that renters are now “bracing themselves” for a rise in rent. 

The Taoiseach said over the weekend that the government could look at developing an ‘alternative system’ to Rent Pressure Zones when they expire at the end of this year.

A 2% cap on rent increases per year in certain areas, also known as rent pressure zones (RPZs), was introduced in 2016 to attempt to dampen spiralling rent costs.

These regulations are due to expire on 31 December this year.

Ó Broin hit out at promises made during the election campaign, stating that there is “no mention at all in the programme for government of ending the caps”. 

Real concern among renters

“The more important point is they have caused real concern among renters. I’ve been inundated with emails and with phone calls.

“I cannot stress the impact the Taoiseach’s comments have had renters,” he said. 

He outlined some of the correspondence he had received from renters, such as one women, aged 70, who has a daughter with special needs.  

“She pays a rent in my constituency of €1,477 per month. Ending RPZs or allowing landlords to reset rents between tenancies would mean she would currently face a rent of €2,700,” said Ó Broin. 

Another constituent of the housing spokesperson said he was always worried his landlord might end his tenancy but at least with the RPZs he knows what his rent will be year on year.  

Labour leader Ivana Bacik accused the Taoiseach of “weakening” protections for renters, while her party colleague TD Ged Nash said Fianna Fáil “has form on this” in terms of giving tax breaks to developers. 

People Before Profit TD Ruth Coppinger told reporters today that the government was moving to the right when it comes to tackling housing and the cost-of-living. 

Responding in the Dáil, Chambers insisted that the review of the rental sector, which is due to be completed by the end of this quarter, does not have a predetermined outcome. 

Chambers was asked about reports that the Taoiseach has warned Fianna Fáil TDs to brace themselves for raft of unpopular decisions on housing. 

He said the Taoiseach said that he is open to the possibility of developing an alternative system to rent pressure zones, which protects renters but also enables people to have a clear, stable environment in which to invest. 

“This is not about increasing rents for tenants, it’s about increasing supply, which will ultimately reduce rents,” he added. 

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