HAP move cautiously welcomed as Laois rents rise 10% hitting €1,169 on average

A rise in the Housing Assistance Payments discretion rate has been cautiously welcomed, particularly as rents rose ten percent in Laois in the past year hitting €1,169 on average.  

Laois Offaly TD Brian Stanley welcomed the move but insisted the measure needs to be accompanied by a rent freeze. 

He gave a “qualified welcome to the increased discretion on rent limits for Housing Assistance Payments (HAP) in Laois Offaly.”

“HAP is a supplement administered by local councils to those who are on a Social Welfare Payment and residing in private rented accommodation’’

Deputy Stanley said: “That the increase announced by the Minister in the discretion from up to 20%, to possible 35% in the rent limits for HAP while welcome, will not have the desired effect unless accompanied by a rent freeze.

The increase in limits to rent support for low-income families will simply be used by some landlords to increase rent further in the two counties. It is likely that in line with what happened with the last increase in HAP rent limits in 2016, it will fuel further rent inflation. Already, most HAP recipients are paying large top up to Landlords on top of their portion of the rent to the councils.”

The most recent figures show that rents in Laois /Offaly increased by 14.6% in Offaly and 10.5% in Laois in the past year. Average rents in Laois have now hit €1,169 per month and €1,158 in Offaly. ‘’

“Unfortunately, the increases in rent, supplement will do nothing for workers in Private Rented Accommodation who are not in receipt of HAP,” he remarked. 

Government have again failed to take the two measures that would bring relief to workers who are renting to bring in an emergency three year rent freeze and 8.5% tax rebate which would put the equivalent of one months rent back in the pockets of workers and families,’’ he concluded.