You may have heard talk about planning permissions being waived for homeowners to build standalone or modular units in their back gardens (often informally known as granny flats) up to 45sq.m. in order to increase the amount of available rental units in the country. These types of accommodations are not new and got its colloquial name from the rise in constructing these units in order for elderly family members to live independently while still being close to support and care. Like any type of building in Ireland, it has historically always required planning permission to build these flats.
Flats in Ireland have to meet certain standards, both in terms of the physical creation of the flat (i.e., construction standards), but when renting it out on the private rental market as a studio apartment, it must also meet the standards for a studio apartment. This means it must have adequate ventilation, access to light, proper sanitation facilities, and a fully functioning kitchen that includes a fridge/freezer, 4-ring hob, oven, and adequate storage, amongst other things. The list of requirements is much longer than what I have named but often are not even thought about because it is covered in the requirements for planning permission to be granted. This leads to my point.
When we do away with planning permission, we do away with standards and we do away with the mechanism to keep people accountable. We invite exploitation through poorly built, glorified sheds that don’t meet standards for health and safety. Because really, at the end of the day, that is what it is—a safety issue. Poor ventilation or shoddy building can lead to an excess of mould, something that is already a fixture in many Irish homes. You don’t need to be in healthcare to know that breathing in thick layers of mould is not good and will have serious long-term effects on your overall health.
Exploitation will not come from just the physical conditions of the units, but also with how these units can be rented out. The Government are toying with the idea of allowing these units to be rented out as an extension of the rent-a-room scheme. We have covered this scheme in a previous blog post and how it gives no protections to the renter and all the benefits to the homeowners. Homeowners will be able to enjoy income up to €14,000 tax free and the ability to kick their tenant out with no warning if they so choose. While the €14,000 is tax-free, it is providing the homeowner does not gain any income from the rental beyond that; if they collect €14,001, they will be subjected to tax on the entire €14k. This means licensees—remember, they are legally not considered tenants—will be vulnerable. How? Rent set at €1,166/month (the max that could be collected without going over €14,000) does not have to include bills. In reality, the homeowner could set the rent at €1,166/month plus whatever price they want to set for bills. If the licensee was bold enough to ask for a breakdown of bills or challenge the price, they could be evicted for being “difficult”, again, because they have no rights.
None of this is to say that we should not be encouraging more types of housing. More housing is absolutely needed, and these types of flats very much serve their purpose. It brings (hopefully) quality homes to young people at a (hopefully) affordable rate. Additionally, Ireland has notoriously strict planning laws and requirements, and we are in favour of a re-evaluation of the system, both in regard to granny flats and the wider system as a whole. But re-evaluating does not mean “get rid of the current system, don’t replace it with anything, and let’s see how it works itself out and go from there”. It means carefully analysing the current structure and seeing what red tape barriers can be reworked or eliminated without compromising quality and safeguarding.
The Government cannot continue to be so careless towards young people and their housing options, and they need to recognize that the private rented sector is increasingly becoming an integral facet in the housing system in Ireland and needs to treat it as such. This means protecting tenants through quality homes and legal protections, and not finding outdated ways to produce more housing.
