Latest news with #RentPressureZone
Irish Independent
2 hours ago
- Business
- Irish Independent
Explainer: What are Rent Pressure Zones and what do new changes mean?
It has been flagged for some time since the new Government took office that changes will be introduced to the Rent Pressure Zone (RPZ) system, which has been in place since 2016.
The Journal
6 hours ago
- Business
- The Journal
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. Advertisement 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. Read Next Related Reads 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 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
Sunday World
6 hours ago
- Business
- Sunday World
Entire country to be brought under Rent Pressure Zone in major change agreed by government
In a meeting tonight, leaders met and agreed on a new system of national rent control Every tenancy in the country is set to be brought under a Rent Pressure Zone, Government leaders have agreed. In a meeting tonight, leaders met and agreed on a new system of national rent control. The current system, which caps yearly rent increases at 2pc or in line with inflation, will be retained. Every area of the country will now be designated as an RPZ under the new national rent control system, meaning the remaining one fifth of tenants in Ireland not in an RPZ will benefit from rent controls. Leaders this evening also agreed on stronger security of tenure protections for renters. This, it is understood, will include an end to no fault evictions in the case of large landlords. The move is one that goes against the recommendations in the report from Housing Commission. In its report last year, the commission said while the rental market was both challenging for both renter and landlord, the RPZs were constraining landlords. According to the report, it said the impact of RPZs has been mixed and the commission recommended changes to the system. In particular, the report said the RPZ system should be reformed and a new system of 'reference rents' be established instead. This would be landlords would be limited on how much they could increase rent by, and would be based off things like the size of the rental property and where it is located. The commission also said regulations should continue between tenancies. 'If a tenancy ends the same regulations apply to the subsequent tenancy. This will discourage termination of tenancies that is designed to increase rental income,' the report said. As reported in the Sunday Independent, the Government was considering new rules which will allow landlords to significantly hike rents beyond the current caps. Under original the proposals, landlords would be allowed to increase rents to market rates in between tenancies of at least six years. While current tenancies are expected to remain under the RPZ regulations, the cap would not apply to newly built apartments. Currently, rents in a Rent Pressure Zone can only be increased by 2pc or in line with inflation, whichever is lower. First introduced in 2016 to control the rapidly increasing rents in high demand areas like Dublin and Cork, it was a major intervention in the market. Rent Pressure Zones were introduced in 2016. Photo: Stock image News in 90 Seconds - Tuesday June 10 Since then, the scheme has steadily spread across the country with most areas now considered an RPZ. Almost ten years after they were first introduced, and with the current regulations are due to expire at the end of this year, it had been anticipated that the current rules around RPZs would change. The Government continues to be under pressure on the issue of housing, wth the rental sector a major focus, as the Opposition has swooped on the issue. Raise the Roof campaign will hold a rally outside Leinster House on Tuesday next week at 6pm, calling for urgent Government action on Ireland's housing and homelessness crisis. The rally is timed to coincide with a Private Members Motion tabled by Opposition parties in the Dáil, and will feature speakers from political parties, alongside a series of singers and spoken word performances. The Raise the Roof campaign group is coordinated by the Irish Congress of Trade Unions, and includes trade unions, housing and homeless agencies, women's groups, human rights advocacy groups, and community organisations. Speaking at a press conference to launch the rally, Ethel Buckley, SIPTU Deputy General Secretary said: 'Ten years into the housing crisis, and that crisis remains the greatest political failure of our time. Workers are being priced out of homes or can only rent or purchase with considerable financial burden. 'In the last 10 years rents and house prices have doubled - and in some areas more than doubled - while wages have increased by less than 40%. If anything, this gap has widened in the last couple of years. Rents and house prices are out of control. 'Alongside the human cost of this, we are seeing the serious knock on effects, with thousands of unfilled vacancies in key sectors, and young people once again choosing to emigrate. 'We are deeply concerned at the lack of urgency shown so far by this new government. A government that is content to play the role of helpless bystander to this ever-worsening emergency. What is needed now is a radical reset with sustained action to deliver secure, affordable housing.'
Irish Daily Mirror
7 hours ago
- Business
- Irish Daily Mirror
Rent Pressure Zones extended across entire country & new rules for rising rents
Rent Pressure Zones will be extended across the entire country under plans agreed by the Government leaders and the Housing Minister James Browne. The Rent Pressure Zone (RPZ) will be discussed by Cabinet on Tuesday and is set to cause significant political backlash. Taoiseach Micheál Martin, Tánaiste Simon Harris, Housing Minister James Browne and senior Ministers met in Government Buildings to discuss the plans on Monday evening. Rent caps of 2% will stay in place for existing dwellings. RPZ legislation will now apply across the entire country. There will be no caps on new build apartments, as part of a Government push to increase the supply of apartments being built. It is expected this will be linked to inflation rather than capped. It is expected that a new tenancy rule will be implemented, along with a restriction on no-fault evictions. After this period, believed to be six years, the rent can be increased to match market rates. In a major change, landlords will also be allowed to increase the rents between tenancies. However, landlords will only be able to reset a rent if their tenant voluntarily leaves. Where a notice to quit is served on a tenant, the landlord can't reset the rent, seeking to remove any economic incentive for landlords to evict their tenants. Minister Browne will also categorise landlords according to the number of properties owned. Currently, all landlords are treated the same regardless of how many properties they own. Smaller landlords will now be categorised, it is understood, as having three properties or fewer. The Irish Mirror understands that additional protections will be put in place for tenants. This will include limiting the situations in which a person can be evicted from a property. For smaller landlords, tenants can be told to leave the property if it is being sold or if family is moving in. However, the Irish Mirror understands that the list of eligible family members could be tightened. For larger landlords, they will be allowed to remove tenants if they break contractual agreements only. Rent Pressure Zone (RPZ) legislation was introduced in 2016. It limited the amount by which rents in RPZs could be increased to 2 per cent or the level of inflation, whichever is less. The legislation is due to lapse at the end of this year.
Irish Daily Mirror
11 hours ago
- Business
- Irish Daily Mirror
Government set for crunch Rent Pressure Zone talks - here's what we can expect
The Government is facing a turbulent week as it finally looks set to make a decision on the contentious Rent Pressure Zone legislation. As the plan to reform the renter rules is discussed at Cabinet on Tuesday, the opposition has warned of widespread protests to the reforms. Rent Pressure Zone (RPZ) legislation was introduced in 2016. It limited the amount by which rents in RPZs could be increased to 2 per cent or the level of inflation, whichever is less. The legislation is due to lapse at the end of this year, with the Programme for Government committing to 'review the effectiveness' of RPZs. Pending Cabinet approval on Tuesday, it is expected that rent caps of 2% will stay in place for existing dwellings. A new six-year tenancy rule will be implemented, along with a restriction on no-fault evictions. After six years, the rent can be increased to match market rates. In a major change, landlords will also be allowed to increase the rents between tenancies. However, the rent cap will not apply to new-build apartments, as part of a Government push to increase the supply of apartments being built. The Irish Mirror understands that additional protections will be put in place for tenants. This will include limiting the situations in which a person can be evicted from a property. For smaller landlords, tenants can be told to leave the property if it is being sold or if family is moving in. However, the Irish Mirror understands that the list of eligible family members could be tightened. For larger landlords, they will be allowed to remove tenants if they break contractual agreements only. People Before Profit's Paul Murphy suggested that the Government's actions will drive rents even higher. He said: 'Rents nationally recently surpassed an average of €2,000 per month for the first time. 'The average rent in Dublin is now €2,500 per month and the rate of increase has accelerated to the highest rate in 20 years'. 'But the government's response to record-high rents is to change the RPZs to enable landlords to drive rents even higher. 'These are the actions of a government that is relentlessly focused on serving the needs of developers and landlords first, last and always. It should also be repeated that Fianna Fáil, Fine Gael and the Lowry group TDs in the Dáil include many landlords'. Sinn Féin's housing spokesman, Eoin O Broin, meanwhile, told RTÉ's Morning Ireland that the Government was 'gaslighting' renters. "When the Taoiseach said yesterday that this was a balanced package to protect renters and encourage investment, he is deliberately misleading the public," Mr Ó Broin said. "He is gaslighting renters, and I'm not even sure he fully understands the extent to which they're putting huge numbers of people, young people, people approaching pension age, at enormous risk with even greater financial hardship, and in many cases, at risk of homelessness.'
