Single people depending on social welfare rent payments will be made homeless by the Government's decision to freeze rent allowances, the Opposition and homeless agencies have charged.
In a little-noticed decision last week, the Eastern Regional Health Authority was told single social welfare recipients living in privately-owned properties should get no more than €107 to cover their rent bills.
The limits for single people living outside Dublin vary from €115 per week for those qualifying in the South Eastern Health Board and Western Health Board areas, to just €63.49 for those in the North Western Health Board.
The maximum limits for families with children will remain at €1,200 a month, falling to €100 per week in both the South Eastern Health Board and Western Health Board areas.
The move was taken, said the Minister for Social and Family Affairs, Ms Coughlan, because of suspicion that landlords were increasing rents to the maximum limits payable by health boards.
The Simon Community was sharply critical of the move. "If the Government wants to control rents, then it should control rents," said Ms Noeleen Hartigan, Simon's social policy and research co-ordinator.
"This was announced in a very low-key way. We are concerned about the effects that it could have. The Government is already subsidising sub-standard accommodation," she told The Irish Times.
Over a quarter of the country's 200,000 tenants are receiving some help with their rent bills, which have risen dramatically in recent years as house prices have spiralled upwards.
Of the 52,415 total, 30,745 are single people living in bedsit-style accommodation, 10,950 are couples and the remainder are lone parents, according to official figures last night.
Up to mid-November, the Department has spent €211.99 million on rent supplements, with the Eastern Health Board - the region most affected by rapidly rising rents - sharing €102.16 million among 17,866 tenants.
Tenants in the Southern Health Board have received €28.79 million. The other health board figures are: Midland, €7.69 million; Mid-Western, €12.59 million; North-Eastern, €12 .28 million; North-Western, €6.92 million; South-Eastern, €20.29 million; and Western, €21.27 million.
Despite a slow down in rent increases sparked by the return of investors to the rental market, the latest figures still show a significant rise on the €179.43 million spent by the Department throughout all of last year.
The majority of poorer-quality rental accommodation is occupied by people dependent on the rent allowances, though the number of bedsits available has contracted sharply in recent years.
However, the Minister insisted the capping of rent allowances would restrain landlords from raising rents and give the recently established Private Residential Tenancies Board an opportunity to work. The board will be able to set "appropriate" rents in contested cases.
Warning that evictions will follow, Labour Party TD Mr Éamon Gilmore said people would be faced with rent increases they will not be able to meet."It is open to abuse. If a landlord wants to get rid of a tenant all he will have to do is put up the rent knowing that tenant will fall into arrears," he said. "There are more people affected by this than by the first-time buyers' grant. It is as if the future of people on social welfare doesn't matter as much."
