New legislation was introduced in Ireland In December 2015 – the Residential Tenancies Amendment Bill . It aimed to help increase the security of private tenants in terms of rent increases etc. (More details here)
One of the promised new features was a Tenancy Deposit Protection Scheme – but the details were very bare and no planned implementation date was given.
There has been some update on the Deposit Protection Scheme from the Dept of the Environment – but not a lot seems to have happened since December 2015. It was raised by the Labour party in the Dail in June 2017 – but the Taoiseach , Leo Varadkar just said “I am afraid the Deputy will have to raise that directly with the Minister for Housing, Planning, Community and Local Government. I am in general agreement with the Deputy that we should have such a protection scheme in place. It is very important that the deposits which tenants pay are held by an independent body, not by a landlord”
Currently, under section 12 of the Residential Tenancies Act 2004, a landlord is supposed to return or repay promptly any deposit paid by the tenant , subject to compliance by the tenant with provisions regarding: rent arrears ,unpaid bills , damage above normal wear and tear. If a landlord withholds a deposit unjustly, the tenant can bring a dispute to the Private Residential Tenancies Board (PRTB) for resolution.
Under the proposed Tenancy Deposit Protection Scheme, landlords will have to lodge tenancy deposits with the PRTB at the same time as they are registering the tenancy. Theplan is that the PRTB will hold these deposits for the duration of the tenancy and will retain the interest generated on the deposit funds towards funding the costs of operating the scheme. At the end of the tenancy, where there is agreement, the deposit will be repaid to the tenant. Where there is disagreement, the parties may apply to the PRTB for dispute resolution.
It is looking like that a tenancy deposit protection scheme will be not operational until at least 2018 (if it ever happens) . Until the scheme is operational, there will be no change in the administration of tenancy deposits .