I propose to take Questions Nos. 422 to 424, inclusive, together.
The previous Government committed to extending the Revenue Rent-a-Room Tax Relief Scheme to permit local authority tenancies access the scheme. My Department provided for the extension of the scheme to local authority tenancies, and worked closely with the City and County Management Association (CCMA) to introduce the 'Room for a Student - Local Authority Scheme'. The scheme came into operation on 1 December 2023, is demand led and allows approved local authority tenants to rent out a room in their home to eligible third level students.
The Government brought in a range of measures to remove disincentives to participation in the scheme. Among these were Regulations introduced by my colleague the Minister for Social Protection in December 2023 to extend the Revenue Commissioner’s Rent-a-Room Tax Relief disregard to local authority tenants renting out room under the scheme. Furthermore, in July 2024, the Government passed the Health (Miscellaneous Provisions) Act 2024 which disregards income received under the Rent a Room Tax Relief Scheme for medical and GP card holders.
The scheme is operated on an administrative basis by the local authorities, with the operating principles setting out that rental income is considered reckonable income under local authorities differential rent schemes, with rent charged by the individual local authority according to their scheme.
Data on the uptake of the scheme for the period December 2023 to December 2024 may be found in the table at the link below. More recent data on the take-up of the scheme can be obtained from individual local authorities. My Department will continue to work with local authorities to support the administration of the scheme locally. I have no plans to review the scheme at this time.
Room for a Student Dec23-Dec24
