Housing Minister discussing rise for renters tax credit in Budget 2025 with Jack Chambers
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A "significant" increase in the renters tax credit is under discussion for Budget 2025, the Housing Minister has said.
The existing renters tax credit of €750 is a big help to those in the rental market and an increase would be welcome, said Darragh O'Brien. Amid reports of an additional €250 to be paid to renters, Mr O'Brien said that an exact figure is a matter for the whole of government to decide.
"I certainly have been looking for and have been discussing with Jack [Chambers] as well a significant increase in the renters tax credit and if that can be applied this year and indeed next," he said at the launch of 120 new social homes in Deansgrange, Dublin.
Should an extra €250 tax credit be paid out this year, it would allow renters to claim back €1,000 for this year with the credit increased to €1,000 in 2025 as well.
"Rents are too high, that is why we are focusing on delivering more cost rental and cost rental at scale but for those who are in the rental market the renters tax credit really helps them," Mr O'Brien said.
Responding to comments made by President Michael D Higgins that planning in housing has been a "disaster", the Housing Minister said that the Government has almost concluded the "most significant reform of our planning system".
Mr O'Brien said the planning and development bill will pass both houses by early October.
"It will provide certainty, clarity and consistency across our planning system with defined dates for planning decisions to be met and also with An Bord Pleanála for the first time ever," he said.
While the government has made progress in delivering new homes since 2020, Mr O'Brien said that he, his colleagues and President Higgins are all aware that more needs to be done.
Taoiseach Simon Harris has repeatedly promised that the State would build 40,000 homes by the end of the year. However, Mr O'Brien gave a more cautious estimate saying he expects delivery to be "in the high 30,000s", if not 40,000.
Following on from Mr Harris' comments on the impact of migrants on homelessness in Ireland, Mr O'Brien that about 42% of those presenting as homeless in Dublin are from EEA and non-EEA countries.
Leaving direct provision is just one of a number of reasons why people find themselves living in homelessness, he said.
"We make no distinction between one cohort and another cohort of people. We never have and we never will," Mr O'Brien said on providing emergency accommodation.