Jim O'Callaghan: Proposing ARP Payment Cut to €400

And I move that order that you have just recited and drafted. I want to thank you László Keann Comhairle and members of Dáil Éireann for meeting today to discuss this motion concerning the order I propose to make along with Minister Brophy to reduce the monthly financial contribution payable under the Accommodation Recognition Payment Scheme to €400 from September 2026. The Accommodation Recognition Payment, or the ARP scheme as it's sometimes referred to, was introduced in July 2022 to recognise the generosity of members of the public who opened their houses, whether in its entirety or a room, at their own expense to provide shelter to people displaced by the Ukraine war. The Department of Social Protection administers the scheme on my behalf. The scheme currently involves a tax-free monthly payment of €600 to hosts per eligible property used to accommodate people granted temporary protection from Ukraine. The motion before the House today arises from a Government decision of 26 May of this year which agreed to the phased reduction of the ARP scheme from €600 to €400 from 1 September 2026, with a view to ending the scheme entirely at the end of March 2027. As the payment is made monthly in arrears, the first payment at the reduced rate would be made in October 2026. The ARP scheme is provided for under Part 2 of the Miscellaneous Provisions Act 2022. Section 9 of that Act enables me to make an order amending the amount payable under the scheme with the consent of the Minister for Social Protection and the Minister for Public Expenditure and Reform. I have consulted both Ministers who have expressed support for the proposed reduction in the rate. The Act of 2022 also provides that the draft order laid before the Houses of the Oireachtas cannot be made law until a resolution approving the order has been passed by each House. The ARP scheme was introduced as an emergency measure at a time of exceptional need, where the demand for accommodation for those seeking refuge from Ukraine outstripped the availability of accommodation. The scheme has been a lifeline for people from Ukraine displaced by the conflict, given high rental market rates and scarcity of rental accommodation. It's introduced a stream of accommodation that would not otherwise have been available, and it's allowed my department to move away from a reliance on state-contracted accommodation in the tourism sector. Since July 2022, the scheme has supported more than 29,000 hosts, providing accommodation to approximately 66,500 people granted temporary protection. There are currently over 41,000 people with temporary protection accommodated with the support of the scheme. I'd like to take this opportunity to thank hosts who have opened their homes, the Irish Red Cross, the International Organisation for Migration, their partners and the Irish public who have shown unwavering solidarity with the people of Ukraine. I wish to highlight that the scheme's payment rate is not, nor has it ever been, linked to the actual cost incurred by the person providing the accommodation. It's a recognition of the valued contribution of those who host. The payment is not intended to substitute rent, nor is it available where a rental agreement is in place. It's also not aligned with market rental rates. The rate has previously been amended twice. It was increased from 400 to 800 euro on 1 December 2022, to coincide with the introduction of the Offer a Home scheme. This measure was invaluable in generating emergency accommodation from a stock of holiday homes and largely unused vacant properties. The rate was subsequently reduced to 600 euro from 1 June last year to address concerns regarding the scheme's potential impact on the rental market. Other measures were also taken earlier this year to limit eligibility for the scheme, to preclude properties registered with the Residential Tenancies Board with a view to safeguarding rental accommodation for tenants. The draft order before you today would have the effect of revoking the previous order, amending the monthly contribution rate and restoring rate to the original value of 400 euro specified in the 2022 Act when it commenced. I note the amendment that Deputy Carty intends to table today, and this will be addressed later in the speech. I also recognise the concerns raised by members of this House in previous debates regarding the equity of the scheme, which is not available to other cohorts. To that end, my colleague Minister Brophy and I had signalled plans to phase out the scheme several months ago, when the scheme's extension to 2027 was considered by the Houses in March. This remains our position. I would now like to hand over to my colleague Minister Brophy.