Paul Murphy warns of 25% council rent hike
Paul Murphy challenged the Tánaiste over a proposed 25% increase in South Dublin County Council rents, arguing it would leave many families unable to afford housing during the cost of living crisis. He tied similar hikes in Dublin City Council to wider government policy and reports that push social rents closer to market rates.
Paul Murphy says the planned increases in council rent are not isolated decisions by local authorities but reflect broader shifts in government policy. He referenced the Programme for Government, the Housing Commission report and a Department of Housing paper that he says point toward aligning social and cost rental housing with market rent.
Murphy named South Dublin County Council and Dublin City Council as examples, noting increases of 25% and almost 30% respectively. He warned that multiple councils are proposing steep rises at a time when households face acute cost pressures.
He argued these rent rises stem from national policy choices rather than random local decisions. Murphy highlighted passages in recent reports that, in his view, would facilitate closer alignment between social housing rents and market rates, effectively eroding social rent protections.
While acknowledging that setting rents is a matter for each local authority, Murphy insisted there must also be a fairness test. He said social housing must remain affordable and that rents should be set at an appropriate ratio to protect tenants and uphold the social contract.
Murphy concluded by asking how people are meant to afford massive rent increases during a cost of living crisis and called for scrutiny of council rent decisions and national policy that could shift social housing toward unaffordable market rents.
Key allegation
Paul Murphy says the planned increases in council rent are not isolated decisions by local authorities but reflect broader shifts in government policy. He referenced the Programme for Government, the Housing Commission report and a Department of Housing paper that he says point toward aligning social and cost rental housing with market rent.
Where it is happening
Murphy named South Dublin County Council and Dublin City Council as examples, noting increases of 25% and almost 30% respectively. He warned that multiple councils are proposing steep rises at a time when households face acute cost pressures.
Government influence
He argued these rent rises stem from national policy choices rather than random local decisions. Murphy highlighted passages in recent reports that, in his view, would facilitate closer alignment between social housing rents and market rates, effectively eroding social rent protections.
Local democracy and fairness
While acknowledging that setting rents is a matter for each local authority, Murphy insisted there must also be a fairness test. He said social housing must remain affordable and that rents should be set at an appropriate ratio to protect tenants and uphold the social contract.
Consequences and questions
Murphy concluded by asking how people are meant to afford massive rent increases during a cost of living crisis and called for scrutiny of council rent decisions and national policy that could shift social housing toward unaffordable market rents.
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Transcript
Tánaiste, I've just gotten notice of what is going to be proposed for a massive increase in council rent in South Dublin County Council. They're looking to increase the basic rate of council rent by 25%. It's going to mean thousands of euros extra a year for many families at a time of a cost of living crisis which people simply will not be able to afford, be affordable. It isn't just South Dublin County Council, we've seen it in Dublin City Council where they've increased rents by almost 30%. There's huge resistance and opposition to that and it's happened in other councils across the country. And this isn't happening just accidentally in multiple places across the country, it's coming from the government. You look at the Programme for Government, you look at the Housing Commission report, you look at the references to merging social and cost rental housing over time or this new report from the Department of Housing which talks about changes to quote facilitate closer alignment with market rent. In other words, get rid of social housing effectively and have people paying these completely unaffordable rates. How are people meant to be able to afford massive increases in their rents at a time of cost of living crisis? Well as the Deputy knows the setting of rents is a matter for each local authority quite rightly. We either believe in local democracy or we don't. We fund it well enough, we set it up well enough, we've councillors elected right across the country, we've chief executives and it's up to each local authority to decide their situation. But there is also a need for fairness. There's also a need for fairness in relation to rent. We provide a lot of social housing in this country, there is a need to make sure people are paying a fair rent as well. I think that's an important part of the social contract. There's many many people looking for a home, there's many many people trying to buy a home, there's many people in private rental accommodation, there's many people who've scraped and saved to try and buy their own home too. There is a need for fairness and if there are some rents that local authorities don't believe meet that fairness test, well then there is a case to make sure they're set at an appropriate ratio.