Government accused of being ‘all over the place’ on its rent control plans

The Taoiseach said he did not accept that the rent proposals would lead to an increase in evictions and rent costs.
Government accused of being ‘all over the place’ on its rent control plans

By Gráinne Ní Aodha, PA

The Government has been accused of being “all over the place” and “confused” on its rent control plans.

Taoiseach Micheál Martin accused the Opposition of confusing the proposals and said he did not accept that they would lead to an increase in evictions and rent costs.

The new rent proposals include extending a 2 per cent rent cap for areas of high demand nationwide, with an exception for new developments, which can charge rent increases in line with inflation.

New tenancy reforms include six-year-minimum tenancies for the first time, to be rolled out from March 1st, 2026, which will ban no-fault evictions for landlords with four or more tenancies.

Sinn Féin leader Mary Lou McDonald said the proposals were “a shambles”.

“You are literally all over the place, confused by your own back-of-the-envelope proposal,” she said during Leaders’ Questions on Wednesday.

She said there was “a very real danger” that the plan will “tighten” rental supply in the coming months, as landlords could delay putting properties back on the market to charge a higher rent from March next year.

Ms McDonald said that the Government was unclear about whether the plan allowed all landlords to set their rents at “full market” value at the end of the new six-year tenancies.

The Sinn Féin leader and other opposition TDs said on Tuesday this would “jack up” rents either in the coming months or in six years’ time, facilitated by government policy.

“This clearly meant people staying in an existing property, g a new tenancy agreement, along with people moving into a property for the first time. And then, you were caught out.

“So throughout the afternoon, you scrambled around denying that this was the case and then sometime in the evening, somebody slipped off and bizarrely changed the press release on the department website with a new wording, a wording that changes nothing.”

 

On Tuesday in the Dáil, Ms McDonald, the Social Democrats and People Before Profit raised concerns about a Department of Housing press release which said that “all landlords will have the right to reset rent where the rent is below market at the end of each six-year tenancy, unless a ‘no-fault eviction’ occurs.”

On Wednesday, Ms McDonald said that this line had been changed on the department’s website to include all landlords “who have entered into a new tenancy arrangement on or after March 1st 2026” will have the right to reset rent at the end of each six-year tenancy.

Taoiseach Micheál Martin accused Ms McDonald of “bluff and bluster” which he said would contribute “nothing” to Ireland’s housing supply.

“You’re attacking all of this, and you’re making absolutely false assertions, because all you are interested in is the politics of this.

“How can I exploit the housing situation to gain electoral or political gain?”

Social Democrats’ deputy leader Cian O’Callaghan accused the Government of “contradictory messages” on its rent control plans.

 

He also asked whether they had “ditched” the rent reset every six years based on comments given to the Dáil.

“You’ve told it all just a few minutes ago that new tenancies after March 2026 will be capped at I (Consumer Price Index), no mention of a reset every six years. No mention of that. Is the reset gone every six years?

“Do you accept now they are going to lead to huge rent increases for most renters, and these measures will increase hardship, poverty, evictions and homelessness for renters?”

“No, I don’t deputy,” the Taoiseach replied.

“The bottom line is, I repeat again, all existing tenants will not have their rents increase beyond 2% and no attempts by you to sow confusion will change that reality.”

A row ensued in the Dail when Mr Martin accused the Social Democrats of not believing there is “a role for the market” in housing supply, to which Social Democrat TDs objected.

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