New rental regulations will allow landlords increase rents if previous tenant leaves voluntarily
A REFORM OF rent regulations is set to go to Cabinet tomorrow, which will allow landlords to reset rent between tenancies.
The matter was discussed at the party leaders' meeting this evening, attended by the Taoiseach Micheál Martin, Tánaiste Simon Harris and Minister of State Sean Canney, where the proposals were signed off on ahead of Cabinet tomorrow.
While Housing Minister James Browne is set to announce the details after meeting with ministers tomorrow, it is expected that existing renters would likely remain protected by the current 2% cap.
Under the proposal, rents for existing tenants in the entire country will be brought under control under the current Rent Pressure Zone (RPZ) system that is currently in place.
However, the new plans will mean the that 2% rent cap will not apply to apartments built after a certain date, a move government is hoping will increase apartment construction by the private sector.
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Landlords will also be allowed to hike rents in instances where tenants leave homes voluntarily.
Tenancy protections will be brought in, according to a government source, who said that protecting renters is a key component. It is expected that new tenancies, while facing higher rents, will see a six-year security of tenure rolled out.
Browne will also bring proposals forward to categorise landlords to the number of properties owned. It is not yet clear this evening to what end this categorization is proposed.
These proposed changes are coming at a time when the Government is under pressure from left-leaning parties, trade unions and homelessness charities to create policies that favour renters over landlords.
Sinn Féin's housing spokesperson, TD Eoin Ó Broin is of the view that renters are being punished for the Government's failures on housing, with the TD slamming the government for changes he said will result in higher levels of homelessness.
Likewise, Social Democrats TD Rory Hearne, an academic who has written a book on the housing crisis, has said his party will 'strenuously resist' any attempt by the Government to end RPZs.
Hearne has argued that the Government is prioritising the profits of international investors and developers over the needs of ordinary renters.
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RPZ changes will have 'significant impact' says Minister, who claims he understands renters' fears
The Labour Party's housing spokesperson Conor Sheehan has described RPZs as being 'very ham-fisted' but said that, regardless, they are the 'only bit of protection renters have in the private rented market at the moment'.
Next week, the Raise the Roof campaign group will hold a demonstration outside Leinster House that is likely to heap further criticism on the government.
Browne argues that the measures will boost investment and certainty in supply of homes for rental and the wider residential market.
The minister told
The Journal
last month renters are 'very much to the forefront of my concerns', but acknowledged there is already an affordability challenge out there for renters.
With reporting by Muiris Ó Cearbhaill
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