PRS, Student Accommodation and Housing
Legislation Enacted Banning Student Accommodation Contracts Exceeding 41 Weeks
The Residential Tenancies (Amendment) Act 2024 was
signed into law by the President on 12 July 2024. The Act will only
apply to student-specific accommodation tenancies and licences
created after the legislation is commenced. The Minister for
Housing, Local Government and Heritage, Darragh O'Brien, is
expected to issue a commencement order shortly. We consider the
Bill's provisions in more detail here.
During the Seanad Éireann debate on this bill, the Minister of State at the Department of Housing, Local Government and Heritage, Malcolm Noonan, stated that the Government is developing policy responses to stimulate the supply of additional accommodation, including the activation of projects with planning permission in the immediate term and the development of programmes for delivery of new accommodation through a standardised design process. He referred to focusing on vacancy and refurbishment projects and systematic responses to supporting measures to provide sustainable transport and access links to higher education institutions.
Delay in Publication of Registration of Short-Term Tourist Letting Bill
The delay in the publication of the Registration of Short-Term Tourist Letting Bill has been reported by the media in recent weeks. The Bill proposes the creation of a short-term lettings register and will require those offering accommodation on a short-term basis to tourists (21 days or less) to be registered; to hold a valid registration number issued by Fáilte Ireland (the Irish tourism board); and confirm they have planning permission, where applicable.
The Government originally aimed to have the register in place by Q2 2024. However, the Bill has been the subject of ongoing engagement with the EU Commission to achieve alignment between the proposed Bill and EU law, in particular the EU Short Term Rental Regulation (STR) which all member states are required to transpose by 20 May 2026.
In response to a Dáil question on 18 June 2024 requesting an update on the Bill, the Minister for Tourism, Culture, Arts, Gaeltacht, Sport and Media, Catherine Martin, stated: "On foot of the adoption of the STR Regulation by the EU on 11 April 2024, the general scheme for the STTL Bill has been revised accordingly and it is intended to bring the general scheme to Government shortly for approval and publication with drafting of the Bill commencing thereafter."
Minister Martin also referred to the parallel process of the development by the Department of Housing, Local Government and Heritage of planning guidance in respect of short-term let properties. The Minister Housing, Local Government and Heritage had already confirmed on 5 March 2024 that it is intended that a draft of the updated guidelines will be published simultaneously with the publication of the Short-Term Tourist Letting Bill.
Proposed Regulation of 'Digs' Accommodation
The Residential Tenancies (Amendment) Bill, which proposes to regulate 'digs' accommodation, has been published. This is a Private Members' Bill, but the Government did not oppose the Bill being read for a second time on 2 July 2024. It remains to be seen if the Government will continue to support it - it has already noted that there are several technical deficiencies in its drafting which will require detailed legal review. The Government has also expressed concern that the Bill might affect the supply of digs accommodation.
| Objective |
To extend certain rights and protections to students residing in 'digs' accommodation. Section 3(2) of the Residential Tenancies Act
2004 currently provides that the Act does not apply to a dwelling
in which the landlord also resides. Genuine licence arrangements
(save for licences of student-specific accommodation) are
also |
| Proposed Changes |
|
The Minister of State at the Department of Housing, Local Government and Heritage stated in the Dáil debate on 2 July 2024 that any new regulations will not affect existing digs arrangements and will not be in place by the commencement of the 2024-25 academic year.
The Bill will now have to be referred to the relevant Oireachtas Committee for pre-Committee Stage scrutiny before the Bill may be ordered for Third (Committee) Stage.
In September 2023, the Department published a voluntary regulatory framework and sample licence agreement to assist homeowners/primary tenants and students who wish to avail of the Rent a Room Scheme.
Housing Commission Report – Summary of Legal Recommendations
The report of the Housing Commission was published on 22 May 2024. The Commission was established by the Minister for Housing, Local Government and Heritage, Darragh O'Brien, in December 2021, as an independent body to examine Ireland's housing system and make recommendations to shape long-term policy. It made several recommendations, including potential wording for a referendum on housing.
The Housing Commission's legal recommendations include:
Housing Delivery Oversight: Establish a legislative body to coordinate housing delivery, address blockages, and oversee investment in utilities.
Land Price Register: Create a register for transparency in land transactions to improve market functioning.
Rental Sector Reforms:
- Implement legislative and regulatory reforms to balance tenant and landlord rights and make the rental sector more attractive, including reforms to ensure a more effective enforcement model for the rental sector that works for both tenants and landlords.
- Regulate market rents fairly and effectively by reforming the current system of rent regulation and establishing a system of 'Reference Rents'.
- Reform and consolidate standards for rented dwellings through a single, nationwide dwelling standards risk-based inspection process.
- Amend the standards for rental accommodation in private and cost-rental homes to enable the letting of accommodation without white goods / appliances.
- Regulate the landlord functions of local authority-owned dwellings and formalise the local authority/tenant relationship.
- Amalgamate regulatory agencies involved in regulating rental accommodation under the remit of a single regulatory authority and strengthen the enforcement powers.
Multi-Unit Developments: Initiate a review of the current legislation and regulations relating to Multi-Unit Developments.
Approved Housing Bodies: Legislate to ensure that AHB social housing is provided, retained, and let in perpetuity, except in exceptional circumstances.
Social Housing Act: Introduce new legislation to protect the social purpose of social housing and prevent privatisation.
The referendum aspects of the report will be submitted to the Joint Oireachtas Committee on Housing, Local Government and Heritage to facilitate cross-government consideration. An inter-departmental group comprising relevant Government departments and the Office of the Attorney General will also be established to consider the referendum proposals. Minister Darragh O'Brien will then bring policy proposals to Government on a potential referendum on housing, but the timeframe for this step is yet to be confirmed.
The Housing Agency will be asked to review the Commission's housing recommendations generally and provide its considerations to Government in Q3 2024. An inter-departmental group will also be convened to develop policy recommendations for Government on foot of the Commission's work and the advice of the Attorney General will be sought before recommendations are brought to Government. The Commission proposals will inform the forthcoming Housing for All Action Plan Update and the revised housing targets due to be published in the autumn.
First Home Scheme Increased Property Price Ceilings
The property price ceilings for the First Home Scheme have been increased. There are different ceilings depending on the location of the property and different ceilings for houses and apartments in Cork City, Dublin City and County, Limerick City and County and Waterford City and County. The First Home Scheme is a shared equity scheme which helps buyers bridge the gap between their deposit and mortgage, and the price of the house.
RTB Business Plan 2024
The RTB has published its 2024 Business Plan.
Strategic Objectives: The plan outlines objectives for 2024 under the RTB's Statement of Strategy 2023-2025, focusing on operational effectiveness across four core service areas: registering tenancies, resolving disputes, ensuring compliance with rental law, and providing information and insights.
Operational Goals: Specific goals include maintaining the tenancy register, optimising dispute resolution, ensuring compliance with rental laws, enhancing the RTB website, and improving organisational performance.
Key Deliverables: The document details deliverables for each objective, such as developing reports on tenancy profiles, reinstating late registration fees, and implementing compliance and enforcement policies.
This article contains a general summary of developments and is not a complete or definitive statement of the law. Specific legal advice should be obtained where appropriate.