Tenants owe Galway City Council over €2m in rent arrears

Date Published: 15-Jul-2010

By Caroline Whelan

Local authority tenants owe Galway City Council over €2 million in rent – this figure has been steadily rising and the arrears increased by €300,000 in 2009.

And the majority of tenants who owe rent money are in arrears of more than three months – a whopping 96 percent of the total arrears due are more than 12 weeks old. Figures released by the council show that at the start of the year the council was owed nearly €2.1 million in rent arrears.

€8.17 million in rent was owed to the council last year but only €6.08 million was paid. Over €2 million of the arrears were more than 12 weeks old, while only €166,000 were less than 12 weeks old.

The report also reveals that the City Council’s rent collection rate in 2009 was less than 75 percent; the most recent national figures available show that in 2008 the highest collection rate in the country was in North Tipperary at 97.8 percent.

City Councillor Brian Walsh (FG) is not at all shocked by the figures. “It’s huge money but it doesn’t surprise me, it’s a reflection of the times we live in, local authority tenants are amongst the most vulnerable in society and they are suffering as much as other people.

“The fact that 96% of the money owed is outstanding for longer than a three-month period would definitely be of concern. That would suggest there is a core figure developing.”

The Council has a total stock of 2,217 houses and employs two full-time rent arrears controllers.

There have been five notices to quit served on tenants for non-payment of rent so far this year; in three of these cases, agreement was reached before the tenants reached court and two other cases are awaiting court dates.

There were seven notices to quit served on tenants last year, in five of the cases, the arrears were paid following a court decision and in two cases there were forcible evictions undertaken.

For more on this story, see the Galway City Tribune