New arrivals from Ukraine will only be allowed stay in State accommodation for 30 days under changes agreed by a Cabinet sub-committee this evening.
Up until now people fleeing the war in Ukraine could stay in this accommodation for 90 days.
The committee heard that if current trends continue, whereby around 50 people daily require 90-day accommodation, the total available capacity may be exhausted this month.
Since February 2022, over 120,000 people fleeing the war in Ukraine have been granted Temporary Protection in Ireland, with an estimated 83,000 remaining resident in the State.
An agreement has also been reached in principle that asylum seekers who are working will have to make a weekly financial contribution towards their State accommodation costs.
However, further work will now be undertaken by the Minister for Justice Jim O'Callaghan and Minister of State Colm Brophy on how the proposal will be implemented.
It is expected to go before the Government party leaders in the next few weeks before being presented to Cabinet for final approval.
Earlier, Minister for Justice Jim O'Callaghan said he considered the proposals to charge rent to people living in IPAS centres who are working "appropriate".
Contributions of between €15 and €238 per week, depending on earnings, are under consideration.
It is thought that such a system could take nine to 12 months to implement.
Under legislation published in 2018, those earning a weekly income of between €97 and €150 would pay €15 towards their accommodation.
Those with a weekly income of between €340 and €405 would pay 50% of the cost of the accommodation, roughly €119.
"Ultimately they will be a matter for the Government but they are proposals we are recommending and we do believe they are appropriate," Mr O'Callaghan said.
Asked if he is concerned about the number of Ukrainians coming to Ireland recently and his plans to address this, the minister acknowledged the significant increase in the number of arrivals into the country since September.
More than 100,000 Ukrainians have come to Ireland since 2022, with around 80,000 here today.
"Obviously that puts pressure on the accommodation that we are providing because we have had a certain amount of accommodation available.
"But if the numbers keep arriving like we saw in September and October, we will have to start looking for more accommodation," he said.
A leaked note from the Department of Justice said that at least 50 Ukrainian people are arriving in Ireland each day, and it comes as Ukraine changed its laws to allow men aged 18-24 to leave the country.
Mr O'Callaghan said that compared to other countries in Europe, Ireland was more generous in terms of the accommodation offered to international protection applicants and those seeking temporary protection from Ukraine.
"When you look at Ireland in comparison to other EU countries, what we are offering in terms of accommodation is much more generous than other EU countries," he said.
Move could result in homelessness for Ukrainians, says Doras CEO
The head of an organisation that supports refugees and International Protection applicants described the move to reduce the time that Government has to accommodate Ukrainians as "worrying" and not "well thought out".
Doras CEO John Lannon said reducing the Accommodation Recognition Payment while also reducing the time to 30 days that Ukrainians can stay in State accommodation would be "extremely counterproductive" and "create more problems than it will solve".
He said 90 days is the minimum amount of time practical to allow a person or family to determine what their next accommodation might be.
Mr Lannon said it could result in homelessness for Ukrainian individuals or families.
Meanwhile, Mr Lannon said the proposal to charge residents in IPAS centres who are working rent is "extremely unfair".
Speaking to RTÉ's Drivetime, Mr Lannon said International Protection applicants "should have proper access to services and supports", if the Government wants them to contribute for their accommodation.
Mr Lannon said the Government must also ensure the accommodation is "safe" and "meets basic needs".
"Asylum seekers are the only people who do not receive child benefit, they can't avail of State supports like grants for third-level education, they often live in remote locations, so they have to pay for transport to get to and from work," he said.
Sinn Féin Justice spokesperson Matt Carthy said proposals to charge those in IPAS accommodation rent if they are working, was a reannouncement by the Government.
"It's 14 months since the Government made this exact same proposal previously. I think that's symbolic of a 'do nothing' Government who are big on making statements but actually very weak in terms of taking decisive action and tackling the dysfunction within the IPAS system," he said.
He said the dysfunction came from the length of time to process applications, the enforcement of decisions "and the obscene profiteering that is taking place within the IPAS system."
He said it was "absolutely logical" that anyone in receipt of state-supported accommodation "would pay according to their means".
However, he said he was also concerned that it would take the Government another 12 months to put this into effect.
Discussing rent payments 'quite shocking' following attack
Social Democrats TD Sinéad Gibney said it was "quite shocking" that following the attack on an IPAS centre in Drogheda on Friday, that "the first item the Government is willing to discuss, in this whole area is payment from IPAS applicants."
She said there were now much bigger concerns around the security of people in International Protection.
Ms Gibney said that in her experience, people in Direct Provision and in the International Protection system were willing and eager to contribute to society and pay taxes.
However, she said asking them for money was problematic in the context of the ongoing accommodation crisis, where many people could not access private rental accommodation as an alternative.
"That money could be better directed towards savings for actually trying to live independently once that asylum has been granted to people," she said.
"There is a housing crisis that is affecting everybody, that affects certain groups within society a lot more acutely than others."
She said the Government would not make a lot of money from charging 15 to 200 plus euro each week.
"I think it sits in the context of a number of measures which this Government is championing within the international protection system which are regressive.
"They're all measures which speak to making it firmer and there's very little the government is doing to make the system fairer."
Mr Carthy said happened in Drogheda is disgraceful.
"The gardaí must ensure that those responsible are brought to justice. But we also need to address the dysfunctions within the IPAS system," Deputy Carthy said.