- Independent Board need to adjudicate on rent reductions
- Ban on Vulture funds
Richard Boyd Barret TD has claimed that failures of government policy have led to the 10% rise in rents.
‘The government has consistently voted against a rent freeze, claiming that the market will overcome the supply problem. But the news rents have risen by an average of 10% across the country gives lie to that.
‘We have now entered a grave situation where rising inflation will lead to more evictions if we do not act quickly.
‘People Before Profit advocates two immediate measures alongside a rent freeze.
- There should be a ban on vulture funds because they are buying up blocks of property at an extra premium price, in the expectation of charging higher rent.
Recent figures indicate that they are paying one third extra for blocks of apartments. Government subsidies then help them charge higher rents. Ireland’s largest landlord, Ires Reit, received €9 million in state subsidies. Irish taxpayers have been forced to subsidise high rents.
2. When rents are so high, we need a new mechanism to allow tenants seek rent reductions. This can occur through the creation an independent board. Where a tenant can show that rent is consuming more than 25% of their income or where rents are higher than a local average, they should be able to make a case for rent reductions.
All of this will require major intervention in the market. We will need a major protest movement to force the government to do just that.
