The Government will publish its plan to impose certainty around residential rents and curb sharp increases within weeks.
Minister for the Environment Alan Kelly said on Monday “discussions are ongoing at the moment in relation to a package of housing measures and I would hope to see those measures coming forward in the next couple of weeks”.
Last week, Mr Kelly described the scale of some residential rent increases as “immoral” and said rises should be linked to the consumer price index.
He said tenants and landlords t needed rent certainty and that such a scheme was “doable” within the constitutional provisions for property.
“I feel it is needed for a vacuum period while supply is coming on stream,” he said, adding that the likely period was three to four years, with a sunset clause.
Speaking in Limerick on Monday, Minister for Finance Michael Noonan refused to be drawn on details in the Government plan, saying proposals on controlling the rental market were still under discussion.
Reports on the matter over recent days suggest landlords risk fines of up to €15,000 if they refuse to take tenants who claim rent allowance under new legislation due to come into effect in the coming weeks.
There have also been reports the new laws may force landlords to fix rental rates for a specific periods.
“There are no decision made. Various ideas are being kicked around and there are very solid proposals coming in from the [Department of ]Environment. The Department of Finance have put up some proposals as well, but it’s at the level of senior civil servants. It hasn’t come back to the Ministerial side yet,” Mr Noonan said.
The Minister said a Cabinet sub-committee under the leadership of Mr Kelly was considering a series of issues around the rental market.
“As we move from recession into periods of very strong growth, the problems facing the economy and the country are problems of success rather than failure, and the big problem of success is on the horizon now as a result of all the new people that are getting jobs, especially in the cities, is housing, whether it’s rental or purchase of housing. This is emerging as a very big problem,” said Mr Noonan.
Asked about criticisms from President Michael D Higgins on the extent of Ireland’s homelessness crisis during a speech in New York at the end of the UN sustainable development’s summit, Mr Noonan replied: “There is not much point in being a President unless you feel free to comment on key issues of the day and that’s what he did.”
“I think the president is an amazingly good President. He is following a sequence of very good presidents and we are fortunate to have him.”
Mr Noonan also confirmed the estimates for the budget have been sent to the Irish fiscal advisory council, which he hopes won’t affect the anticipated €1.2 million to €1.5 million scope for spending increases and tax cuts.
“We have already sent our forecast to the Irish fiscal council so it won’t alter the parameters of the budget that has already been announced; €1.2 million to €1.5 million,” Mr Noonan said.
The Minister also said in Limerick today he believed Minister of State Dara Murphy’s explanation of why he took a Garda car to Dublin airport to Cork was reasonable.
“Dara Murphy has explained it in detail he has done long interviews and I thought his explanations were reasonable,” the Minister added.
