Minister for Housing makes startling discovery: increased supply = lower rents

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Channeling that other super sleuth Sherlock Holmes, Minister Simon Coveney presented the findings of his in-depth investigation into why rents are soaring out of control in most parts of the country.

The Minister for Housing said increased supply is the solution to bringing down soaring rent prices.

Mr Coveney made this earth shattering revelation yesterday at a housing policy conference in Trinity College titled “Homelessness and Social Housing.”

He said the Government was “trying to respond to the emergency that is there today, particularly in Dublin” and that new housing would be delivered “in the right place, in the right quality”.

Simon Coveney thinks the more starter homes we build, the cheaper rental prices will be.

However, the latest figures show the rate of growth for rents in the private sector has slowed down slightly.

But the latest quarterly index from the Residential Tenancies Board, shows rents still grew by 8.6% by the end of March.

A number of speakers from the floor accused Mr Coveney of “crisis management” and repeating “failed policies of the past”.

Minister Coveney said we need a more stable rental market and repeated most of the promises the Irish people have been listening to for the past five years.

“The solution here is supply.
“A lot of supply, but we also need to understand and consider rent certainty.
“I mean if you look at other cities around Europe, we will see lots of people choosing to rent for a lifetime because they have security into the future about rental accommodation.”

Last week he was severely criticised after he admitted he will miss his own deadline for launching the Government’s much talked about “Action Plan for Housing” because people would be “heading off” on summer holidays.

The plan to deal with the housing crisis was due to be published within 100 days but will be delayed because the deadline falls during the August break, when the Dáil will be out of session.

Despite calling the housing shortage an “emergency” at the Oireachtas Housing Committee, Mr Coveney confirmed that it will be September before the plan will be launched.

He said that one of the problems around the 100-day target is that it lands right in the middle of August.