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Govt defends rent rules due to come into force in March

Legislation to introduce the changes goes to Cabinet this week in the form of the full text of the Residential Tenancies Bill (Stock image)
Legislation to introduce the changes goes to Cabinet this week in the form of the full text of the Residential Tenancies Bill (Stock image)

The Government has defended the new rent rules due to come into force on 1 March, saying that a balance must be struck between strengthening tenants' rights while also increasing investment.

Legislation to introduce the changes goes to Cabinet this week in the form of the full text of the Residential Tenancies Bill.

Last June, the Government announced a major overhaul of rent rules.

The entire country became a rent pressure zone from later that month, with annual rent increases limited to either 2% or inflation, whichever was lower.

But bigger changes required new legislation with an implementation date of 1 March.

Under these proposals, small landlords would be allowed to reset rents to market rates between tenancies, while tenancies would get greater security with six-year leases.

However, the Opposition has united in condemning the proposals, saying they will push up rent prices.

Speaking today on RTÉ's The Week in Politics, Sinn Féin's Martin Kenny said the changes were "a recipe for corporate landlords to come into the market and make more money off Irish renters".

He said the legislation would give some landlords the opportunity to evict tenants so they cool hike up the rent.

On the same programme, Social Democrats TD Jennifer Whitmore said that while people would not be getting affordable rents under these changes.

"The minister said they are removing barriers to supply, what they're actually doing is removing barriers to affordable rents," Ms Whitmore said.

The Government insists the current rent controls are discouraging landlords from entering or staying in the market.

And they claim the changes will ultimately increase supply, which will set a cap on rent hikes.

Minister for State Jerry Buttimer said: "What we're doing here is strengthening the balance between the rights of the tenant and giving them certainty in terms of tenure and also encouraging investment".

Opposition TDs have also criticised the tight timeframe to debate the legislation ahead of 1 March.

However, Mr Buttimer rejected that assertion, saying pre-legislative scrutiny had already been carried out on the outline of the bill.