Perhaps the most surprising aspect of the Economic and Social Research Institute’s report into the Government’s rent pressure zone (RPZ) legislation is that it limited inflation in the respective areas by just 2 per cent. The report, which analysed the impact of the legislation from 2017 to 2019, found rental inflation in the designated zones, which cover most cities, would have been 2 per cent higher without the measures. That feels like a meagre victory in the context of a market where rents are rising by 8-10 per cent nationally and average close to €1,400 a month or nearly €2,000 in Dublin.

RPZ controls, which have now been overtaken by new legislation, meant that landlords could not increase rents by more than 4 per cent a year except in certain circumstances when investment in the property was undertaken. The notion that about of third of landlords applied rent hikes above the 4 per cent limit will also do little to assuage critics of Government housing policy. The report said it could not assess whether these rises were legitimate because of data gaps.

The ESRI’s report, however, found that exemptions to the rules in the Irish case for new supply and dwelling upgrades were “correctly targeted” to help avoid side effects. From an examination of rent controls in other countries, the ESRI concluded that they have been shown to lower investment and maintenance in buildings, and lower overall rental supply in certain cases.

In other words, there is a balance to be struck between protecting tenants and not spooking landlords or choking off investment. Where that lines lies is unclear. As noted in the report, strict price caps risk lowering supply and upkeep in the medium term, something that the Government needs to keep in mind