Tánaiste Micheál Martin has given the strongest indication yet that the Government is unlikely to extend the ban on no-fault evictions at the end of next month.
Speaking during Leaders' Questions, he told the Dáil that any extension couldn't be "short-term", and the "fundamental" question was whether it would negatively impact the supply of housing.
The Tánaiste said there was a danger that the Government, by extending the ban, could reduce supply, increase rents and make matters worse.
He said he recognised that the winter eviction ban did work, but all of the issues would now need to be evaluated, adding that the end of the ban was staggered and protections would remain in place until the end of June.
He was replying to the outgoing Social Democrats co-leader, Catherine Murphy, who said the Government must not make the crisis worse.
However, she added that she was concerned that is what is going to happen.
She said people in her clinics were arriving in panic, in tears, after being served notices to quit and saying they never expected that homelessness would threaten them.
Ms Murphy said even though the ban was about to run-out "it really does not feel there is a plan of action" and this should have already have been put in place by the Government.
She said the Taoiseach maintained yesterday that the ban may not be working because homelessness is increasing, where as most people would have concluded that the flood would become a torrent if it wasn't extended.
The Tánaiste said the latest data showed there had been a loss of 13,5000 rental units last year as small landlords exited the sector and the Government needed to take account, in policy terms, as to why they were "leaving in droves".
Meanwhile the Taoiseach has admitted there was a "diversity of views" on extending the eviction ban at a meeting of the Fine Gael parliamentary party last night.
"It is not a black-and-white decision to extend or not to extend, there are other things at play as well," he said.
Speaking in Drogheda, Mr Varadkar said Minister for Housing Darragh O'Brien would bring proposals to the Cabinet "in due course".
He said a decision would be made in the Dáil within the next "week or two".
"He's a new minister and he didn't say the word 'oppose' in time. But the rules are the rules," Mr Varadkar said.
He said the Ceann Comhairle was right to follow the rules in this case.
The Bill will now go to committee but he said this was likely to be superceded by the Government's own legislation.
Additional reporting Cillian Sherlock
