Average Dublin rent is now 96% of minimum wage monthly salary – Tóibín
Sinn Féin's Peadar Tóibín TD has highlighted the difficulties families face arising from the shocking increases in rent in Irish properties as well as the potentially devastating effects for thousands of Irish children at increased risk of homelessness.
Deputy Tóibín said:
“The average rent in Dublin is €1,520. This is 5.2% higher than peak Celtic Tiger levels. A person on the minimum wage living in Dublin working 40 hours a week will earn €1,586 a month. That means for thousands of families in the Dublin area on the minimum wage the average house rent is 96% of their pre-tax wage. That’s an astounding figure especially when you consider that Fine Gael are now considering reneging on a mere 10c Minimum Wage increase.
“For someone on the average monthly wage of €2,980 living in Dublin the average rent for a house in Dublin will swallow up 51% of their pre-tax wage. It is shocking that the average house in Dublin is virtually a no-go area for a person on the average wage.
“In real terms this is a significant reduction in disposable incomes year on year. It is an erosion of families’ ability to provide for themselves. It is a major cause of the homelessness crisis.
“According to Fr Peter McVerry in Dublin "we have almost one thousand families who are homeless with 2,020 children who are homeless.
“These increases and their associated lack of housing supply are also the genesis of “an economic crisis. Any family that is spending over 50% of its income on rent will be forced to seek a pay increase. These pay increases will have no net benefit to families as they will be further swallowed up by unproductive rent. If these increases persist they will erode competitive advantages and increase industrial unrest.
“Ireland both socially and economically is being held to ransom again by a housing crisis. Sinn Féin has identified the necessary funds for the building of 35,000 houses over the next five years. At this time of housing crisis, that Leinster Houses is in hiatus shows the shocking disconnect at the heart of our political establishment.”