Renters paying the price for Minister’s rent hike bill
Renters paying the price for Minister’s rent hike bill - The Labour Party
Labour housing spokesperson Conor Sheehan TD has said new RTB figures showing a 9.1% annual surge in rents for new tenancies are a damning indictment of the Government’s rental policy, calling on the Minister for Housing to change course and introduce the rent brake proposed by Labour.
Speaking at the Labour Party think-in, Deputy Sheehan said:
“These figures should set alarm bells ringing in the Department of Housing. A new tenant is now being asked to find an average of €1,839 every single month just to keep a roof over their head. That is €1,839 before a household pays for electricity, heating, food, transport, childcare or anything else.
“The gap between new and existing tenants is particularly stark. Someone entering a new tenancy is paying an average of €326 more every month. That is almost €4,000 extra over the course of a year simply because they had the misfortune of needing to find a new home.
“The Minister for Housing pushed ahead with major changes to the rental market and these are the figures now confronting renters. The RTB, the State’s own rental regulator, is reporting a 9.1% annual increase in rents for new tenancies. The Minister needs to explain how that can possibly represent progress.
“Labour called for a rent brake because renters desperately needed breathing space. We proposed putting a stop to further rent increases for three years while the State gets on with the job of building the social, affordable and cost-rental homes we need. Instead, the Government chose a different path and renters are now paying the price.
“People cannot budget around increases like this. Workers cannot simply find another few hundred euro every month. Young people cannot save for a deposit while handing over €1,839 to a landlord. Families cannot build any kind of financial security when housing consumes such an enormous share of their income.
“The Minister has spent months defending his approach to the rental market. He now needs to confront what is actually happening to rents. How much higher does he think they can go? How much more are renters supposed to find every month before he accepts that the current approach is failing them?
“Housing is a basic necessity, not a luxury product. An average rent of €1,839 for a new tenancy is indefensible.
“The Minister needs to change course. Labour’s rent brake would give renters the certainty and breathing space they desperately need while we dramatically increase the supply of social, affordable and cost-rental homes. Renters cannot afford more excuses or more tinkering around the edges. They need the Minister to act on rents now.”