Calls to freeze rents
There have been calls to freeze rents as prices are set to soar for hundreds of thousands of tenants.
Just last month a report by DAFT.IE identified how chronic supply shortages are causing rents to spike particularly in cities like Cork
The average rent in Cork city is now €1524 while in the county rents were on average 13% higher in the second quarter of 2021 than in the previous year.
Maximum rent increases in rent pressure zones were recently linked to inflation.
It was hoped this would keep price rises much lower than the 4 per cent allowed however inflation has shot up and is now at 3 per cent.
Sinn Fein housing spokesperson Eoin Ó Broin says the government must act.
“Though in fact we knew unfortunately that this was going to happen, Darragh O’Brien introduced this legislation. He claimed that inflation over the previous four months had averaged out at 0.7%, so if your rent review was pegged to inflation it would effectively be zero.
“The problem is in the month that Darragh introduced the legislation, inflation was already rising. It was 1.9%, then went up to 2.2%, and in August it was 3%.”