Young people on social welfare will save up to €20 a week as a result of the Government decision to cut the personal contribution they make to their rent supplement.
The reduction in the personal contribution will apply to anyone under the age of 26 who is claiming Jobseekers Allowance or Supplementary Welfare Allowance, and who is receiving Rent Supplement.
Young individuals or couples claiming Jobseekers or receiving Social Welfare Assistance previously had to contribute up to €40 a week to their Rent Supplement Tenancy. Under the new arrangement, a young single person aged between 18-24 years receiving a payment of €100 a week will see the weekly contribution to their rent cut from €30 to €10, representing a saving of €20 a week.
A young person of the same age receiving €144 or €160 a week will have their personal contribution cut by €10 a week.
Clare Fine Gael TD, Joe Carey said “This measure will help to ease the rental burden on young people on welfare. Under the previous arrangement, a very significant portion of their income was going on rent. €500,000 a year has been set aside to cover the cost and it’s expected to help young people transition from homeless services and into rented accommodation”.