Tipperary County Council rent arrears more than double in a year

Tipperary County Council rent arrears have more than doubled in a year.

Figures released to Nenagh councillor Seamus Morris and to the Tipperarylive under the Freedom of Information Act show €2,711,392 was owed in rent at the end of 2022.

This is in comparison to the 2021 figure of €1,349,103. Last year the Tipperarylive reported that rent arrears at the local authority were on the rise.

At the time, Tipperary County Council said the high figures were “artificially inflated” and would come down at the conclusion of the current rent review.

They said one would need the end-of-year figure to make a reasonable assessment of the situation.

The Tipperarylive has confirmed that there is no rent review currently being carried out at Tipperary County Council.

A spokesperson for Tipperary County Council said that while these figures are a true reflection of the debt owed, some arrears may have been backdated up to to two years. 

They said a rent review had not been carried out for two years. 

While tenants are required to inform the council of changes in their circumstances, some had not. This resulted in significant arrears being applied to their accounts. 

Cllr Morris says the new figures suggest a bigger problem.

“Despite assurances given to me that the rent arrears were to be taken ‘in a moment of time’ the long-term arrears older than 12 weeks are €2.3 million, so something is not right with the process for some time now,” said Cllr Morris.

The FOI data released to the Tipperarylive shows 2,572 tenants are currently in debt to Tipperary County Council.

This is approximately 42% of all council tenants (6107), with each owing an average of €1,054.19.

However, that average is not reflective of individual debt, and Cllr Morris said he is trying to assist people in real trouble.

“I am dealing with a working woman who religiously paid her rent, who was hit with arrears of €10,000 overnight, and when she questioned it, she was asked if she could not get a credit union loan to clear it off?

“I am representing a number of women in the same boat and will be having face-to-face meetings with staff and the tenants soon,” said Cllr Morris.

Tipperarylive asked the spokesperson about the claim. 

They said they do not recommend tenants take out loans to cover rent arrears. Loans come with interest and only put tenants in further debt, they said. 

“That would only make their situation worse I would think,” said the spokesperson. 

They advise anyone with a notice for rent arrears that high to make contact with the council.

“We are not in the business of persecuting people,” said the spokesperson.

End-of-year rent arrears figures: Compiled from figures released to the Tipperary Star in May 2022 and February 2023

POINTS OF TIME

In the figures released to Cllr Morris €2,356,414 of that debt is older than 12 weeks.

The Tipperary Star monitored the monthly rent arrears increases.

Between January and June 2022, rent arrears at the council rose from €1,816,111 to €3,128,960.

It reduced slightly in July 2022 to €3,015,544.

So, the current figures show a modest reduction but still remain high.

DIFFERENTIAL RENT

When the Tipperary Star spoke to Cllr Morris last year, he raised concerns about the 2018 change from the previous council rent scheme to the differential rent scheme.

He predicted that the rent arrears would increase, monitored the monthly figures and raised his findings at the March 2022 meeting of the Nenagh Municipal District Council. Tipperary County Council at that time rejected the councillor’s assessment.

Cllr Morris said this week that he remains concerned about the level of debt experienced by Tipperary County Council’s tenants.

He offered this advice: “I would ask anyone that is experiencing huge rent arrears (overnight) to/ look for a full statement going back to January 2019, look for copies of all correspondence from the council warning of arrears and to organise a face-to-face meeting with staff and a local councillor,” said Cllr Morris.

The spokesperson from Tipperary County Council said the immediate nature of the rent arrears was down to the conclusion of the rent review. 

They said rent teams are assisting tenants who are making every effort to pay their rent. 

They advise anyone who is in difficulty to reach out to them for assistance. 

Tipperary County Council also say representatives from the rent team will be attending municipal district meetings this months to answer any questions councillors may have.