New rent supplement system criticised

The problem of homelessness was likely to be exacerbated by a change in the system of paying rent supplements, warned Mr Joe …

The problem of homelessness was likely to be exacerbated by a change in the system of paying rent supplements, warned Mr Joe Costello (Lab).

Until recently, payments for tenants in private rented accommodation were made directly to landlords. But under the new regime, the Eastern Health Board was giving cash directly to clients on the understanding that they would pass the money on to their landlords. This was putting great temptation in the way of very many vulnerable people who would find the cash too hot to handle properly. The intention might have been to empower tenants, but in practice it would put them in a worse state than before, said Mr Costello. Landlords would evict them for non-payment of rent.

Responding on behalf of the Minister for Social, Community and Family Affairs, Mr Ahern, Cabinet colleague Ms O'Rourke acknowledged, as a personal view, that the vagaries of human nature and the exigencies of living on a very limited income might cause problems. She said the new scheme, piloted by the Eastern Health Board, needed to be monitored closely.