Removing Cork rent pressure zones ‘would be attack on struggling renters’

A city councillor has said that higher rental increases and the potential removal of rental pressure zones (RPZs) in Cork would be an attack on renters who are “already struggling”.

Earlier this year, Taoiseach Micheál Martin said that the Government will review all housing policies in 2025, including considering whether to abolish RPZs, which are due to expire on December 31.

RPZs are designated areas where rents cannot be increased by more than general inflation or by 2% per annum.

However, according to property website Daft.ie, the average cost of renting in Cork city rose by more than 10% from the end of 2023 to the end of 2024.

Measures

Labour Party councillor for Cork City South East, Peter Horgan, has said a range of measures are needed to protect the rights of those renting homes.

“You cannot get a rental property in my ward for anything less than €2,000 [per month],” said Mr Horgan.

“By removing the current increase protections, it would be open season on renters already struggling to make the high cost of rent in Cork.

“We have seen the tip of the iceberg with the funding deficits in the tenant-in-situ scheme — showing for last year a €1.69m gap that must be bridged.

“We need to protect tenants and strengthen renters’ rights,” the Labour Party councillor added.

“We can do that through a mixture of medium- to long- term objectives, such as a restoration of the no-fault eviction ban, a of rents to provide transparency on prices and lengths of tenancies, and a deposit protection scheme.

“The Government and the minister [for housing] have a decision to make, and I will continue to advocate for the protection of renters.”

Mr Horgan’s comments come following an emergency city council meeting regarding the tenant in situ scheme, which took place in Cork last week.

Funding

The chief executive of Cork City Council, Valerie O’Sullivan, stated at the meeting that the local authority was initially granted funding for some 110 home acquisitions last year.

She said that the council was then told by the Department of Housing in June that they could work to their allocation, plus 50%, and that costs could be recouped.

However, the council carried forward 38 homes to this year, and the costs to acquire these projects and to recoup transactions from 2024 would see them at an estimated €1.69m deficit.

Ms O’Sullivan said that this leaves the council with no adequate funding for the planned acquisition of an additional 33 homes in Cork city this year.