Over 53,000 rental homes 'effectively taken off' private market due to HAP scheme, report finds
A NEW REPORT has highlighted a number of areas of concern in relation to the Housing Assistance Payment (HAP) scheme, uncovering systemic failures, widespread delays, and a worsening impact on the rental housing market.
The investigation, carried out by the Ombudsman, found that the HAP scheme has effectively removed thousands of properties from the private rental sector – contributing to rising rents and making it harder for people to find housing, both within and outside the scheme.
Among the most pressing issues identified was the delay in processing HAP applications. The report highlighted that in some cases, applicants experienced long waits between applying and receiving confirmation or payment. As a result, some lost out on rental properties while waiting for approval.
The Ombudsman, Ger Deering, said that his office 'has received numerous complaints from members of the public who believed they had been disadvantaged by the current system.'
Another isue note in the report was the duplication between the HAP and social housing application processes. Applicants must often submit the same documentation twice, once for social housing support and again for HAP, despite the fact that approval for social housing should automatically entitle them to HAP assistance.
The report also pointed to disparities in how HAP tenants are treated compared to tenants in direct social housing. HAP recipients are frequently given less security and face greater financial uncertainty.
Additionally, the report criticised local authorities for failing to provide clear, consistent information about key elements of the scheme — including how much rent tenants are expected to pay and what discretionary increases might be available.
As of the end of 2024, HAP was supporting 53,742 households across the country.
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According to the Ombudsman, this has effectively withdrawn the same number of properties from the private rental market, intensifying competition and inflating rental prices.
'This has contributed to the sustained increase in the rate of rents, which in turn has made it more difficult to source properties for both HAP tenants and those renting independently,' the report states.
The scheme, launched in September 2014, was designed as a replacement for the Rent Supplement system and is administered by Ireland's 31 local authorities.
HAP provides a direct payment to landlords on behalf of eligible tenants, with caps in place based on household size and location. Local authorities can raise the cap by up to 35% in certain cases, though this often still falls short of actual rental costs.
As rents continue to rise, many HAP recipients are now paying large top-ups to their landlords in addition to the rent they pay to local authorities, a situation that charities have warned is unsustainable.
The Ombudsman has recommended that HAP payments be backdated to the start of a tenancy once an applicant is approved for social housing support.
He has also called for a thorough review of the scheme to streamline the application process, improve transparency, and ensure fairer treatment for tenants.
Deering added that an 'information pack' provided to HAP applicants, and should include indicative rent figures, information on the HAP cap and an explanation that there may be an increase available, depending on the situation
'This information should be presented in a simple and accessible format,' the report states.
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The Journal
2 days ago
- The Journal
Over 53,000 rental homes 'effectively taken off' private market due to HAP scheme, report finds
A NEW REPORT has highlighted a number of areas of concern in relation to the Housing Assistance Payment (HAP) scheme, uncovering systemic failures, widespread delays, and a worsening impact on the rental housing market. The investigation, carried out by the Ombudsman, found that the HAP scheme has effectively removed thousands of properties from the private rental sector – contributing to rising rents and making it harder for people to find housing, both within and outside the scheme. Among the most pressing issues identified was the delay in processing HAP applications. The report highlighted that in some cases, applicants experienced long waits between applying and receiving confirmation or payment. As a result, some lost out on rental properties while waiting for approval. The Ombudsman, Ger Deering, said that his office 'has received numerous complaints from members of the public who believed they had been disadvantaged by the current system.' Another isue note in the report was the duplication between the HAP and social housing application processes. Applicants must often submit the same documentation twice, once for social housing support and again for HAP, despite the fact that approval for social housing should automatically entitle them to HAP assistance. The report also pointed to disparities in how HAP tenants are treated compared to tenants in direct social housing. HAP recipients are frequently given less security and face greater financial uncertainty. Additionally, the report criticised local authorities for failing to provide clear, consistent information about key elements of the scheme — including how much rent tenants are expected to pay and what discretionary increases might be available. As of the end of 2024, HAP was supporting 53,742 households across the country. Advertisement According to the Ombudsman, this has effectively withdrawn the same number of properties from the private rental market, intensifying competition and inflating rental prices. 'This has contributed to the sustained increase in the rate of rents, which in turn has made it more difficult to source properties for both HAP tenants and those renting independently,' the report states. The scheme, launched in September 2014, was designed as a replacement for the Rent Supplement system and is administered by Ireland's 31 local authorities. HAP provides a direct payment to landlords on behalf of eligible tenants, with caps in place based on household size and location. Local authorities can raise the cap by up to 35% in certain cases, though this often still falls short of actual rental costs. As rents continue to rise, many HAP recipients are now paying large top-ups to their landlords in addition to the rent they pay to local authorities, a situation that charities have warned is unsustainable. The Ombudsman has recommended that HAP payments be backdated to the start of a tenancy once an applicant is approved for social housing support. He has also called for a thorough review of the scheme to streamline the application process, improve transparency, and ensure fairer treatment for tenants. Deering added that an 'information pack' provided to HAP applicants, and should include indicative rent figures, information on the HAP cap and an explanation that there may be an increase available, depending on the situation 'This information should be presented in a simple and accessible format,' the report states. Readers like you are keeping these stories free for everyone... A mix of advertising and supporting contributions helps keep paywalls away from valuable information like this article. Over 5,000 readers like you have already stepped up and support us with a monthly payment or a once-off donation. Learn More Support The Journal
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