Dáil Éireann Debate, Tuesday - 17 February 2026
781. Deputy Cathal Crowe asked the Minister for Housing, Local Government and Heritage his plans to reform and expand eligibility for the secure tenancy affordable rent scheme; the timeframe for any proposed change; and if he will make a statement on the matter. [11761/26]
View answerThe Secure Tenancy Affordable Rental (STAR) investment scheme is part of a suite of housing measures designed to increase social, affordable and private housing supply. My Department keeps all of these schemes under review and any changes required to optimise participation or improve efficacy as may be feasible are considered on an on-going basis.
One of the key housing commitments in the Programme for Government is to continue the STAR scheme to support affordable rents, while reviewing its criteria, to ensure greater take-up by the private development sector. In this context, my Department has evaluated the interface between the scheme and the private capital investment sector in order to identify potential optimisations to enhance delivery under the scheme and encourage greater participation by private operators. Accordingly, a number of key enhancements were introduced in Quarter 4 of last year, including;
Tax measures to support the viable delivery of apartments introduced in Budget 2026 - a reduction in the VAT rate on apartments to 9% from 13.5% and the exemption of rental income for Cost Rental units from corporation tax.
The publication of a new STAR equity contract in November 2025, which revises the technical accounting treatment of STAR funding on the operator’s balance sheet, thus removing a significant blockage to private operator take-up of the Scheme.
