Sanctioning rent rise rates is ‘Celtic Tiger economics’

The Government has been accused of engaging in “Celtic Tiger economics” by sanctioning rent increases that are more than twice that of wage hikes and of again ruling out freezing rates. Some 19 new rent pressure zones (RPZ) have been announced for 11 counties, which will see rate increases by landlords limited to 4% annually.

Despite the Government’s move to slow the spiralling rates in towns and urban areas, opposition parties again called for a rents freeze. Labour’s Brendan Howlin highlighted how the 4% rent rise cap was more than twice the amount that wages have increased. He said the average annual wage had risen by 1.7% between 2016 and 2017, while the national minimum wage had increased by 1.5% year by year.