New Bill to prohibit arbitrary rent hiking by landlords

Landlords will be prohibited from charging more than the open market rate for rent under new legislation to be introduced by the Government.

The Residential Tenancies Bill 2003, published this morning, is aimed at reforming the rented accommodation sector and will affect tens of thousands of tenants and landlords.

One of the provisions of the Bill is to restrict landlords from arbitrarily increasing rents over and above market levels.

The Bill will also oblige landlords to provide four years security of tenure if a tenancy lasts more than six months.

The Minister of Environment, Mr Martin Cullen, said the legislation was "a major and overdue advancement in tenants' rights".

Minister Cullen said: "It is an irony of Irish history that the rights of tenants on the land, which were well established over 100 years ago have never properly established in law in relation to housing."

"Today I am righting that wrong," he said.

The Bill's provisions will apply to landlords and tenants even if there is no written tenancy agreement.

The legislation requires landlords to maintain the structure and interior of a building to a standard that applied at the beginning of the tenancy agreement.

They will be responsible for repairs and have to reimburse tenants for expenditure on repairs.

They will be also be obliged to insure the property, provide a point of contact, refund deposits, and ensure that tenants "can enjoy a peaceful and exclusive occupation".

In addition, they will be obliged to register all tenancies with a new State body at a cost of €70 per tenancy.

However, Socialist Party leader Mr Joe Higgins said the Bill fails to address the single most difficult issue for tenants in private accommodation - "the extortionate rents charged by many landlords".

Green Party TD Mr Ciaran Cuffe says the Bill is full of "loopholes" for landlords.

"Section 34 of the Bill provides landlords with many ways of evicting tenants, ranging from refurbishment, to sale of the premises, to a requirement for family use," he said.

Minister Cullen maintained the Bill provides a package of measures designed to achieve "an efficient and attractive private rented sector".