Rents in Galway city stand to be hiked by almost €100 a month from July, raising fears of rents spiralling even higher and leading to a summer of evictions.
The concerns have arisen as a result of the Government's Rent Pressure Zone legislation, and the temporary rent freeze that is due to be lifted in July, which could potentially allow landlords to double rents.
Landlords in Rent Pressure Zones, who are limited to four per cent annual rent increases, will be allowed to carry out an eight per cent double rent increase this year because rents were frozen under pandemic rules in 2020.
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The Department of Housing has confirmed that eight per cent increases will be allowed. With average rents at €1,160 per month in Galway city, increases of almost €100 a month in the city - and €80 in the county - could be on the cards.
This has led Social Democrats Galway City East councillor, Owen Hanley [pictured above], and People Before Profit Galway representative, Adrian Curran, to demand the Government “immediately intervene” and take measures to prevent rents spiralling and an increase in evictions.
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“Allowing rent increases of eight per cent is utterly unacceptable,” said Cllr Hanley. “Rents are already at record high rates. This price gouging must be stopped."
"Rent increases of around €100 a month would be crippling for many Galway renters and must not be allowed to happen,” said Mr Curran [pictured above]. “This loophole must be closed to stop what would amount to daylight robbery.”
Cllr Hanley noted that the rent pressure zone policy has “done nothing to stop runaway rents”, and that rents have almost doubled in a decade.
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“As well as the public health crisis, there has been a jobs crisis, and an income crisis, which has disproportionately impacted young people – those most likely to rent,” he said. “There is a full month until these potential rent increases kick in. The Government has no excuse for inaction on this."
Mr Curran has called for the national rent freeze to be reintroduced so the “already record high rents are not allowed to rise any further at all”.
